Inflation Eases, but Your Budget Still Reeling from Rising Costs
Food Prices Continue to Rise
Inflation showed signs of easing in 2024, but the rate of price increases is still slowing, and your budget is likely feeling the impact. The overall cost of food inched up each month in 2024, with prices 2.4% higher in November than a year earlier. Meat, butter, and eggs saw significant increases, with eggs experiencing a double-digit percentage increase.
The Rising Cost of Living
The cost of other essentials, such as shelter and medical care, also rose in November, with prices 4.7% and 3.7% higher, respectively, than a year ago. On the other hand, energy prices and gasoline prices fell, providing some relief.
Condo Owners Face Rising Costs
Condo owners, especially those in older buildings, are facing significant increases in special assessments, which can range from $100,000 to $350,000 per unit to fix structural imperfections. The trend is driving a surge in the number of older condos on the market.
Legislative Action Needed
Legislative leaders from both parties have vowed to make condo reform a top priority in 2025, with calls for a special session to address the financial burdens of some of the reforms on condo owners. There are also proposals to overhaul the Florida Department of Business and Professional Regulation (DBPR), which regulates condo associations.
Property Insurance Rates Stable, but High
Property insurance rates stabilized in 2024, with the Insurance Information Institute projecting rates to remain stable in 2025. However, premiums remain high, especially in South Florida, prompting state lawmakers to plan to look into ways of improving affordability in the new year.
Conclusion
As the economy continues to evolve, it’s essential to stay informed about the changes that may affect your budget. While some prices are stabilizing, others are still rising, and it’s crucial to plan ahead. By understanding the current market trends and staying up-to-date with legislative changes, you can make informed decisions to protect your financial future.
FAQs
Q: What was the rate of inflation in 2024?
A: The rate of inflation showed signs of easing, but the rate of price increases is still slowing.
Q: How much did food prices increase in 2024?
A: Food prices were 2.4% higher in November than a year earlier.
Q: Why are condo owners facing rising costs?
A: Condo owners are facing significant increases in special assessments to fix structural imperfections in older buildings.
Q: What is the plan for condo reform in 2025?
A: Legislative leaders from both parties have vowed to make condo reform a top priority, with proposals to overhaul the Florida Department of Business and Professional Regulation (DBPR) and address the financial burdens of some of the reforms on condo owners.
