Core consumer inflation inched lower in December, with shelter costs the main ingredient. The Core Consumer Price Index (CPI), which strips out volatile food and energy, fell to 3.9% year over year from 4.0% in November. Within the core numbers, it showed that shelter costs rose 6.2% annually. With two-thirds shelter making up Core CPI, there is a lot of reason to be optimistic that inflation is trending in the right direction - lower.
The takeaway... with inflation trending lower, active listings on the rise, and borrowing costs declining, 2024 could be shaping up to be positive for the housing market.
