Inflation & Prices
US Rent Inflation Is Slowing Fast in New Index Built by Fed Team
- Gauge based on leases of tenants who recently moved in
- Collaborated with Bureau of Labor Statistics researchers
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The cooldown in US housing should show up in official inflation data next year, according to a new index that aims to capture changes in rental markets without the usual lag.
Researchers at the Federal Reserve Bank of Cleveland and the Bureau of Labor Statistics built a gauge that’s based only on the leases of tenants who recently moved in, and compared it with another that measures the average of rents for all tenants.