How Changing Shelter Costs Influence Inflation

March 23, 2023

Fast-rising U.S. shelter costs — consisting of tenants' rent and owners' equivalent rent — were the top driver of inflation in 2022, but this may be a trend that has already shifted. Shelter costs account for nearly one-third of the value of the consumer price index (CPI), making them the largest component by far. New rents and home prices both softened in the second half of 2022, but because of the way shelter costs are measured, it could take nearly a year for those changes to be reflected in the CPI.

12-month-shelter-cost-chart

All Securities Through Money Concepts Capital Corp., Member FINRA / SIPC

11440 North Jog Road, Palm Beach Gardens, FL 33418 Phone: 561.472.2000

Copyright 2010 Money Concepts International Inc.

Investments are not FDIC or NCUA Insured

May Lose Value - No Bank or Credit Union Guarantee

This communication is strictly intended for individuals residing in the state(s) of MI. No offers may be made or accepted from any resident outside the specific states referenced.

Prepared by Broadridge Advisor Solutions Copyright 2020.

A family is walking through an airport with luggage.

Family Fun for Less: Tips to Help Cut Costs on Your Next Vacation

June 28, 2025
Rising prices can make planning a budget-friendly family vacation challenging. Follow these tips to help.
A man and a woman are standing on a balcony.

Buying a Condo? Focus on the Financials

June 28, 2025
Condominiums, or condos, appeal to home buyers of all ages who want to reap the benefits of homeownership while spending less time and money on upkeep.
A woman is sitting at a table using a laptop computer.

Have You Set a Retirement Savings Goal?

June 28, 2025
Only 54% of workers or their spouses have tried to estimate the savings they would need to live comfortably in retirement; have you?
A woman is sitting in a beach chair reading a book.

Travel Spending Surpasses Pre-Pandemic Levels

June 28, 2025
Travel spending was hit hard by the pandemic but surpassed pre-pandemic levels in 2024. Where are they now?
Show More