We've already seen more inflation in just 51 months of the 2020s decade than in the entire decade of the 2010s

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Tomorrow, ResiClub PRO members will receive the updated inventory tracker, which now includes over 3,000 counties and more than 800 metros. Its release was delayed by one day.

This weekend, ResiClub PRO members will also receive an article examining the extent to which commercial real estate prices have fallen across different categories.

There’s no doubt about it, we've witnessed a historically sharp deceleration in the rate of inflation. We went from a +9.0% year-over-year inflation jump in June 2022—the highest reading since 1981—to +3.5% as of March 2024.

That said, even with this deceleration, we've already seen more inflation in just 51 months of the 2020s decade than in the entire decade of the 2010s.

Inflation by decade:

+33.1% - 1990s decade

+28.8% - 2000s decade

+19.0% - 2010s decade

+20.7% - 2020s decade (through 51 months)

Here's what it looks like with the 70s and 80s added in:

+104.0% - 1970s decade

+64.2% - 1980s decade

Even if the Federal Reserve manages to bring inflation back to its +2.0% annual goal, the 2020s decade is still likely to exceed the total inflation observed in the 1990s and 2000s decades.

However, it is anticipated that the 2020s will conclude well below the total inflation levels witnessed in the 1970s and 1980s.

Now let’s compare inflation Vs. home prices.

Through the first 50 months of the 2020s decade, U.S. home prices are +47.1%. That’s well above the +20.7% uptick we’ve seen in overall inflation through 51 months this decade.

Unless something dramatic changes between today and December 31, 2029, the 2020s decade is likely to mark the third straight decade that U.S. home prices outpaced overall inflation.

The last time inflation outpaced U.S. home prices? The 1990s decade, when U.S. home prices rose +30.1% in the decade while inflation rose +33.7%.

ICYMI 👇

Last Friday, Blackstone received Canadian regulatory approval for its $3.5 billion deal to buy Tricon. Blackstone will have the third-largest U.S. single-family portfolio once it completes its Tricon Residential (35,448 U.S. single-family homes) acquisition.

On Tuesday, Yardi proposed a deal to become the majority shareholder of WeWork following the company’s successful emergence from the Chapter 11 restructuring process.

On Tuesday, Fortune 500 homebuilder Lennar and Invitation Homes, America's largest single-family landlord, partnered on a build-to-rent bet. According to the press release, "Invitation Homes will manage the 4,400 [BTR] homes in the portfolio that are within its core markets and invest in the joint venture."