July inflation came in at 8.5% on a year-over-year basis, and in a sign of the recent times, many economists and wall street analysts celebrated the lower-than-expected report. Economists had anticipated 8.7% price growth following 9.1% in June. As a result, equity markets continued to rebound from early-summer lows. The modest inflation reversal will also likely enable the Fed to continue their aggressive rate hikes, as the recent report provides evidence that higher interest rates are rippling through the economy and slowing price growth.
In the apartment market, operating fundamentals continue to weaken as the summer wears on. For the first time in several years, operators and owners head into budget season with significant unknowns about next year. Occupancy and leased percentages continue to fall and NER has decelerated rapidly to a national growth rate of 5.5% year-over-year. If there is a silver lining in this week’s data, it is that traffic ticked upward slightly after remaining unchanged last week. Traffic had been falling consistently throughout the first half of the year and into the third quarter before pulling out of negative territory the past two weeks.
Key Takeaways – Data as of 08/14/2022
Traffic and Leases:
Occupancy and Leased:
Net Effective Rent:
8283 N Hayden Road #145, Scottsdale AZ, 85258
Phone: 602-892-4788Email: email@example.com
Rr. Rrustem Hyseni, No. 1Pristina, 10000KosovoPhone: +383 44 855 334Email: firstname.lastname@example.org