CHART: Rent Hasn't Declined Y/Y Since the Great Depression!

Check out this chart showing the year-over-year percent change in rent inflation since 1914. As you can see, there hasn't been a decline in rent y/y since the Great Depression! In the beginning of the 1920s, rent rose 20% y/y before crashing to unchanged right before the stock market crashed in 1929 (eyeballing the chart below). And then rent declined close to 15% y/y during the depression before spiking to a 5% y/y gain in the late 1930s. It hasn't dipped into negative territory ever since. It's interesting that in 2009, housing prices fell close to 20% y/y, owners' equity in household real estate fell 30% y/y, food prices dipped below 0% for a moment, but rent held on to y/y gains or tested 0%. Check out that chart as well. It's all about the deflation fight. Right? But now some of those who lost equity are without homes, and perhaps underemployed and paying higher rent as a result. I'm guessing the alternative would have been worse?

Direct Link: http://research.stlouisfed.org/fred2/graph/?g=9m1

http://research.stlouisfed.org/fred2/graph/?g=9m2

http://research.stlouisfed.org/fredgraph.png?g=9lW

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