Chart Of The Week – NER and CPI Growth

We are excited to share with you the Chart of the Week! Through our real-time data, we are building a series of visuals, charts, and graphs depicting the most important trends happening in the multifamily industry. This week we are doing a comparison of NER and CPI.

NER vs. CPI Growth

Inflation and rent growth have dominated the headlines in 2022 as a confluence of factors has led to rapid increases in both metrics. Both have followed similar trajectories, with growth starting in early 2021 and accelerating through last year. However, it wasn’t until early 2022 that many people started focusing on the historically strong growth. Radix data shows rent growth peaking late in Q4 2021 before decelerating quickly through most of 2022. Inflation peaked in Q2 of 2022 and appears to be receding but not as rapidly as rent growth. With the Fed fighting hard against inflation, we expect the CPI to continue to decelerate and follow a similar trend to annual rent growth in the coming months.

Follow the series on LinkedIn and radix.com/research and share your feedback! We would love to hear from you with suggestions for future trends to cover!