South Florida’s Real Inflation Rate - July 2022Â
Bottom Line: If the cost of living in South Florida seems even more expensive than the 9.1% national average. It’s not your imagination. You’re right – it is. Lucky us, right? When digging deeper into the Bureau of Labor Statistics inflation information from last week we’re able to see what’s happening specifically in South Florida. So, what did the survey say? The cost of life in South Florida, the Miami-Fort Lauderdale-West Palm Beach metro was 10.6% more expensive year-over-year. That’s a number which is a full 1% higher than the prior month in our neighborhoods. And what’s been driving South Florida’s inflation higher than even the 41-year high nationally? The top categories for inflation increases were... Â
- Energy: 50.5%Â Â
- Services 13.9%Â
- Housing 11.5%Â Â
Now if the rising costs of life make you want to drink – you're in luck there. The only category to show a price drop for two consecutive months in South Florida... Booze. Alcohol is about 1% cheaper than last year. The silver lining is this. With energy costs  leading South Florida’s inflation, it’s safe to say the impact is likely lower in real-time. It was right at a month ago gas prices peaked in Florida at $4.98 per gallon. While no one feels good about paying over $4 bucks a gallon for gas, we’ve seen over 70 cents per gallon come off at the pump – good for a decline of 14% from a month ago. Also, with rent rates appearing to have peaked in May in South Florida and the housing market slowing down as well, it's likely overall inflation has peaked at least for now, and probably for this cycle. That’s especially important because incomes have risen about 5% less than the rate of inflation over the past year and obviously that’s not a sustainable situation. Fingers crossed that the worst is now behind us.Â