New Economic Analysis Shows Fed Hikes Worsen Rent Inflation & Rents Will Continue to Drive Core Inflation
Contact: Johanna Kichton, [email protected], 202.660.0605
WASHINGTON, D.C.–People’s Action’s Homes Guarantee campaign today unveiled a new economic analysis co-written with Groundwork Collaborative on rent inflation and the housing affordability crisis. The analysis immediately follows the release of September’s Consumer Price Index data showing rent inflation increased to 7.2% year-over-year.
“Without a real strategy to regulate rents, President Biden lacks a real strategy to fight inflation,” People’s Action Homes Guarantee Campaign Director Tara Raghuveer said. “That problem will play out in the midterms. But Biden can fix it by doing everything in his power to regulate rents and stop landlords from profiteering off this inflation crisis.”
The analysis explains that rent inflation is a key driver of core inflation and how the Federal Reserve’s aggressive interest rate hikes hurt tenants and ignore corporate landlords’ role in creating and maintaining this crisis.
“Today’s CPI report shows rent inflation at its highest level in over 40 years, which piles on to the higher prices for food and energy that tenants are already paying,” Groundwork’s Director of Policy and Research Mike Mitchell said. “With millions of Americans struggling to make rent and facing the threat of eviction, Congress must step in to address this affordability crisis and establish a Homes Guarantee for all.”
To combat the rent inflation crisis, this Saturday, October 15, 19 tenant-led organizations with the Homes Guarantee campaign will hold a National Mega Canvass across the country in 26 locations. Organizers will talk to tenants and collect stories to send to the White House about how rent hikes are hurting them. Polling from Data for Progress and Bipartisan Policy Center point to bipartisan voter appetite for federal action to mitigate rising housing costs. Earlier this year, the campaign sent the White House a memo of recommended federal actions to curb rent inflation signed by 220+ legal partners, housing justice, and tenant-led organizations.
People’s Action builds the power of poor and working people in urban, rural, and suburban areas to win change through issue fights and elections. We are a national network of 38 state and local grassroots power-building organizations in 28 states–united in the work of building a bigger “we.”