QUICK TAKES History indicates real estate is a good hedge against inflation: Yun Inflation may be a concern for Americans in 2022, according to Lawrence Yun, chief economist of the National Association of REALTORS®, but even if mortgage rates, energy prices, rents and costs of consumer goods go up, the value of real estate
generally seems safe. Looking back at high inflationary periods in American history, such as the 1970s and 1980s, Yun says home prices tended to outpace inflation. In the 1970s, the Consumer Price Index averaged 7.1 percent annually, while home prices averaged 9.9 percent. In the 1980s, the CPI was 5.5 percent and home prices averaged 5.6 percent, he said. Other decades showed similar patterns. “Therefore, for those concerned about the loss in purchasing power of money and savings, be assured that real estate has proven to be a good hedge against inflation,” Yun said. For more information, go to: bit.ly/InflationAndRealEstate
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www.IllinoisRealtors.org
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The average homeowner’s tenure in a home, according to NAR’s 2021 Profile of Home Buyers and Sellers. It dropped from 10 years the year before, the largest year-over-year decline in the history of the data set, NAR reported. bit.ly/HomeTenure
