Continued apartment rent growth is helping deter the Federal Reserve from cutting interest rates, driving up inflation at a time when the Fed is seeking signs of a cooldown.
Shelter inflation, the government’s measure of home and apartment rents, rose 5.7% in March from a year prior, The Wall Street Journal reported. This is notably higher than the average shelter inflation rate of about 3.3% from 2015 to 2019 and was a large driver of March consumer price index results that will likely delay an interest rate cut.
Source: Multifamily Rent Growth Derailing Fed’s Plans To Drop Interest Rates
