Posted first at Capitalstool.com.
Wage inflation is now 4%, centered in a 6 year trend toward higher inflation.
Meanwhile, housing inflation is 23.4%, according to NAR MLS national median sales price.
And the Fed wants us to believe that the CPI now at 5.4%, is transitory. If CPI included actual house prices and not that bogus owner’s equivalent rent. It would be 10.4%, not 5.4.
And guess what. The severely lagged and suppressed OER measure will spend the next couple of years catching up to the actual market. It will keep rising even after inflation abates somewhat.
Assuming that it does in our lifetime.
