Inflation softened in January
Inflation continued on its downward trend in January, hitting an eight-month low. According to an analysis of the National Association of Home Builders (NAHB) on the Consumer Price Index (CPI), households are feeling increasing costs of consumer goods despite price growth softening. Year over year the (CPI) rose by 2.4%, the lowest level since May 2025.
The NAHB constructs their own rent index, which indicates whether inflation in rents is greater than core inflation.“The index for shelter, which makes up more than 40% of the “core” CPI, rose by 0.2% in January,” said NAHB Senior Economist Fan-Yu Kuo. “In January, the Real Rent Index remained unchanged. The index has remained virtually flat since August 2025, except for data quality issues in October and November.”
