SPRINGFIELD, Mass. (WWLP) – Inflation is starting to slow down but that does not mean we will start seeing prices go down as of yet.
Senior Vice President of Investments at Raymond James, Mark Teed, told 22News most of the components that measure inflation has to do with rent and housing which he says is not slowing down. He added that there will also need to be higher unemployment to see some improvement with inflation.
“As long as employment is really high and unemployment is really low, we’re not going to see a sell off in real estate. So what the fed is trying to do is raise rates high enough to create unemployment so that inflation can come down in real estate which will drive that number down,” said Teed.
According to Teed, the fed is trying to slow down a growing economy but if they don’t get inflation under control, the concern is that it could last longer and call for about six million people to be laid off this year.