Location Strategy Top 10 Chartbook

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FALL FORECAST EVENT

This fall Location Strategy is planning its first forecast event. After almost five years, I’m looking forward to speaking to you about the market again. We’re working on an excellent program for you, which will include the opportunities to network that we all value so much. Keep your eyes out for an email next week about event details. We look forward to seeing you this fall.

Location Strategy has switched to a new newsletter provider this week, so please excuse the mess. If you have any problems with the new system, please send me an email.

LOCATION STRATEGY TOP 10

Real (inflation-adjusted) earnings down for the 26th consecutive month. The longest stretch in US history by far (twice as long as the Global Financial Crisis).

Housing supply remains tight but not getting worse

Household real estate wealth is higher than equity wealth.

Gains in rental costs have been slowing on a year-over-year basis.

The Cleveland Fed’s data from repeat-rent leases (leases that are renewed for a second or subsequent term) signal sharp declines in rent inflation in the months ahead.

Planned home renovations

Housing inflation is still running well above pre-COVID levels. This should be expected, as the OER measure is about the only technical measure of housing costs that don’t actually reference housing transactions. Just like this measure lagged about 6 months behind actual prices on the way up, it should do the same on the way down. The pause in rate hikes by the FOMC this week should probably tell you what they think of this index now.

Active Adult Forever: Share of working-age Americans in the total population over time.

IEA says global growth in fuel consumption will dwindle to just 400,000 barrels a day in 2028. Global demand will reach 105.7 million barrels a day by that point. I would bet there are a billion Indians who want air conditioners who beg to differ.

Semiconductors lead US Manufacturing Facility Construction.