Food, clothing, and other commodity prices will continue to increase this year because inflation is now among us. Inflation has always been a Fed benchmark to manage with the adjustment of interest rates. Since their interest rate tricks are all but exhausted, we may only be able to watch as prices increase this year and beyond. There are two areas which you may want to watch:
Rent
Home prices will stabilize but rents will start to rise due to homebuyers not buying and multifamily housing production has been at an all time low. Local communities have not changed their zoning ordinances to increase densities. Multifamily zoned land will be at a premium.
College
States are pulling their funding to universities. The college-age population continues to increase and curtailing funding will result in higher tuition, larger class sizes, and fewer elective classes. Thus, the cost to achieve a college degree will increase substantially.
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