Zillow projects shelter inflation will remain elevated through end of year

Zillow Research reported that annual rent inflation is expected to hit 2.8 percent and owners equivalent rent inflation is projected at 3.3 percent for October, according to data from the Consumer Price Index. Zillow Research expects housing inflation to remain elevated through the end of 2026 and into 2027. [1]

The Bureau of Labor Statistics will release the official shelter inflation figures on Friday, November 10, 2026, at 8:30 ET, Zillow Research reported. Zillow Research forecasts that annual rent inflation will finish 2026 up by approximately 3.1 percent, while owners equivalent rent will end the year near 3.4 percent. [1]

September readings for owners equivalent rent growth reached the upper boundary of expectations, but Zillow Research noted that this is unlikely to mark the start of a large increase. Zillow Research added that shelter disinflation has plateaued in the near term, as new-lease rents grow at their fastest rate during the 2025 to 2026 period. [1]

Separately, Forbes reported that mortgage rates declined for a third consecutive day on October 27, 2026. Zillow Group, Inc., which operates the tech real-estate marketplace, was founded in 2006 by former Microsoft executives. [7][9]