Source: The Motley Fool —
Inflation’s impact on energy costs was already being felt before the Russia-Ukraine conflict, but now new sanctions restricting the exportation of fuel are exacerbating the problem and causing gas prices to soar. While it may not seem like real estate and rising gas prices go hand in hand, they are far more related than you may think. Here’s how skyrocketing fuel prices could impact the real estate market in both the short and long term.
Gas prices are soaring
Gasoline prices are one of the cases where consumers can see the immediate impacts of cost increases. Even a week’s difference means you are paying more for a normal fill-up. According to AARP, the national average price for regular unleaded gasoline has increased 17% in the past month alone. It’s estimated the increased gas costs could add up to $2,000 to the average household budget this year.