January 2023

People often rely on digital means to find solutions to their problems. This applies to every industry, but to some more than others. For example, one in 10 Americans use social media to find information regarding healthcare, and 66% use the internet to research specific medical issues.

Although many people use the internet to research the challenges they face, a majority of them do not find online advertisements relevant, which is a missed opportunity for marketers. In order to better reach these potential online clients, industries are turning to inbound marketing techniques to find leads.

Inbound Marketing Explained

For years, outbound marketing was the dominant way to find leads who turned into customers. Outbound marketing involves the process of chasing down potential clients. This included cold call techniques and direct sales pitches.

In contrast, inbound marketing takes a more personal approach. Hubspot defines inbound methodology as ‘the method of growing your organization by building meaningful, lasting relationships with consumers, prospects, and customers. It’s about valuing and empowering these people to reach their goals at any stage in their journey with you.’

This approach is more popular with younger generations, who prioritize personalization and being treated individually, rather than as a number. It’s also a preferred marketing strategy in industries where personal relationships truly matter, such as within healthcare.

According to Bob McIntosh, the personalization of digital marketing as a whole is required. He said, ‘Simply presenting a broad-based digital ad or piece of content with mass appeal to a generalized audience now tends to be ineffective. The most successful businesses and marketing professionals understand that digital marketing works much better when personalized for the target audience.’

There are three ways to apply this inbound methodology: attract, engage, and delight.

Attract

Conversational marketing is an inbound marketing strategy that allows businesses to attract potential clients by interacting directly with them.

While live chat and chatbots are the first methods of conversational marketing that generally come to mind, any other tool that facilitates real-time conversations also applies. This includes the use of email, social media, and text messaging tools.

Conversational marketing is especially relevant to the healthcare industry. Health is a personal matter, and having the ability to communicate effectively is vital to potential patients. According to a 2019 study by Accenture, 69% of patients indicated that they were more likely to select a healthcare provider that communicated with them through email. Another survey by Redpoint Global revealed that almost half of respondents prefer digital communication with their healthcare providers.

Creating a personal connection through conversation humanizes marketing. Rather than pushing a product or service, marketers who use this dialogue-driven approach create a relationship with customers. And that relationship becomes a foundation for trust as connections transform into leads.

Engage

Engage is in this second step of the inbound marketing methodology. This is where lead generation comes into play. Once a company has attracted and interacted with a potential lead, sales become involved and work to engage the potential client by providing relevant information.

At this point, these individuals are pointed toward a call to action that will lead them to an offer. An offer may look like a landing page, an ebook, or a class that directly solves their personal needs. Once the potential client has provided their information using a form, they have officially become a lead.

Co-founders Bradley Rand Martin and Theo Nguyen created Client Connection Group to link dentists with new patients. They use a multi-platform approach that includes Google, Instagram, Tik Tok, and Facebook to turn potential clients into leads.

Nguyen said, ‘We create campaigns across multiple channels using pre-qualifying campaign workflows that walk potential patients through a funnel packed full of information exactly relevant to their needs. Once they’ve provided us with their information, we are able to strategically reach out over the next 60 days using text and email. We are careful to make sure the information stays relevant and applicable.’

While this example showcases how the healthcare industry is mastering inbound marketing, other industries can use this approach to generate their own leads. And once leads are generated, this strategy can help them follow through with their specific call to action and keep customers engaged along the way.

Delight

Keeping potential customers happy after they’ve interacted with your brand is a crucial part of the inbound methodology. Chatbots again become effective ways for former clients to stay in touch with you and build continual connections.

Interacting with former clients provides you the opportunity to issue surveys and ask questions that will allow you to gain more information on how to alter your lead generation flow to make it more applicable and effective. By responding to feedback, you demonstrate listening skills and a willingness to change, which is a significant way to delight former clients.

Amanda Brinkman, Chief Brand and Communications Officer at Deluxe, says, ‘Your main objective should be listening to your consumers — getting to know them better. It doesn’t cost you anything to listen, and the insights you gather can be invaluable.’

Aside from surveys and questionnaires, social media is a great way to hear the needs of former and current clients. They’ll often post complaints or praise, and both forms of feedback are extremely valuable. If your clients exist on a certain platform, you need to be there as well, whether it is Instagram, TikTok, or Snapchat.

Inbound marketing is a noteworthy approach for all industries. As personalization becomes a higher priority for consumers, inbound marketing will need to become a standard marketing strategy. Taking examples from industries that are already adapting to this change can put your company on track to adapt, but don’t wait too long to try this technique.

On January 12, new Consumer Price Index (CPI) data was released for December, showing falling inflation rates across the board. The headline CPI, the broadest measure of inflation in the U.S., dropped to 6.5% year-over-year (YoY), down from 7.1% a month earlier. The “core” CPI, which excludes volatile food and energy prices, also fell to 5.7%, down from 6% in November.

While it’s encouraging to see the inflation rate drop on a YoY basis, the more relevant numbers from the CPI report come from the monthly data. Year-over-year data is inherently backward-looking, and I’m assuming everyone reading this is most interested in knowing what’s likely to happen over the course of 2023. The data there is a bit mixed. 

Breaking Down The Numbers

When we look at the headline CPI, this month’s report is very encouraging, showing that prices actually fell 0.1% from November to December. Meaning for the broadest measure of inflation in the U.S., prices actually went down. This is a great sign for the CPI going into 2023. For inflation to get under control, the pace of price gains only needs to slow, but prices going backward like last month is even better. 

The Core CPI tells a different story, with prices rising 0.3% in December, up from 0.2% in November. This is obviously not great, as the pace of inflation went up monthly, and the Federal Reserve is very focused on the Core CPI. 0.3% monthly inflation is still way too high. 

Still, when looking at the last few years, there is a clear sign that things are heading in the right direction. Throughout 2021 and 2022, Core CPI growth was regularly above 0.4%, so seeing it come down to about 0.25% over the last three months is encouraging. But there’s still work to do. Personally, I’m optimistic things will keep trending in the right direction—mostly due to one part of the CPI that I am intimately familiar with—housing prices. 

One of the major things keeping the Core CPI high is “shelter” inflation, which measures the cost of housing (both for renters and homeowners) in the U.S. As measured by the CPI, shelter costs rose around 0.7% last month alone! 

What’s the deal with that? Anyone who looks at data knows that the cost of housing in the U.S. is falling, not rising! Rents and home prices are declining modestly right now, yet the CPI still shows them going up!

The reason is because the CPI measures of shelter lag by 6-12 months (it’s terrible, I know). So, the December 2022 report shows housing and rental data for the Summer of 2022! That’s annoying, but since the housing and rental markets started to shift in June/July, it means that the CPI will start reflecting the reality of housing prices in the coming months. To me, this is a strong indication that the Core CPI will fall over the course of the next six months. I can’t see how much and when, but I think it will trend downward in the first half of this year. 

What Happens Next?

I wrote an article in November stating that I thought inflation had officially peaked and shared an analysis of monthly CPI rates and the reason for my belief. Here’s an update to that analysis. 

The chart above projects year-over-year inflation numbers based on what happens to monthly increases going forward. For example, if inflation continues to decline by 0.1% each month (like it did this month), then we’ll be below the Fed’s 2% annualized target for inflation by May 2023. 

I don’t think this is realistic, and we’re going to see modest monthly gains going forward. If we see an average monthly increase of 0.1%, we’ll be under the Fed’s target rate by June. If monthly inflation rises 0.16% (which is the average for the last six months), we can expect to be below the Fed’s target sometime over the summer. To me, this is a very realistic scenario. 

Of course, the inflation rate could pick up steam again, but that seems very unlikely. In almost every dataset, we see that inflation has peaked and is starting to return to earth. There is still a ways to go, but it seems like we should have inflation under control sometime this year. That is fantastic news. Lower inflation is good for the economy and for every American who has been hurt by higher prices over the last few years. 

What Will The Fed Do?

Despite this encouraging news, I expect the Fed will raise the federal funds rate at least one more time. But, I think we’re approaching the terminal rate (the rate at which the Fed stops raising rates), and we could see the end of this tightening cycle soon. 

Pausing rate hikes does not mean falling rates, though. The Fed recently issued guidance saying they don’t intend to lower rates in 2023. Many investors think that’s a bluff, but personally, I take the Fed at its word and then hope I’m wrong. The Fed is dead serious about controlling inflation, and although I believe they’ll stop raising rates soon, they won’t lower rates at least in the next six months to be extra sure the risk of resurgent inflation is low.  

Paused rates are still a good thing, though! So much of the economic turmoil we’re experiencing right now is due to uncertainty about Fed policy. If they stop raising rates in the next few months, it should give the entire economy some sense of stability and hopefully lead to a clearer and more optimistic economic outlook. 

What do you think will happen in 2023 based on this inflation data? How will it impact your investing decisions? Let me know in the comments below.

On The Market is presented by Fundrise

Fundrise is revolutionizing how you invest in real estate.

With direct-access to high-quality real estate investments, Fundrise allows you to build, manage, and grow a portfolio at the touch of a button. Combining innovation with expertise, Fundrise maximizes your long-term return potential and has quickly become America’s largest direct-to-investor real estate investing platform.

Learn more about Fundrise

Note By BiggerPockets: These are opinions written by the author and do not necessarily represent the opinions of BiggerPockets.

By Candice Georgiadis, social media influencer and founder of Digital Day Inc, a social media and marketing agency in California.

All startups face challenges when first setting out. Whether it is funding, hiring the right employees or marketing their product, every startup will experience obstacles. However, the most successful startups are those that can identify the challenges they are facing and put a plan in place to overcome them.

The following is a list of the top challenges faced by startups and some advice on how to overcome them.

1. Access To Finance

One of the biggest challenges startups face is access to finance. Getting a bank loan can be difficult, especially for early-stage startups with no track record or collateral. And even if a startup can get a loan, the interest rates can be prohibitively high. This is where governments can help by providing risk capital through venture capital funds or loans at preferential interest rates.

Overcoming This Challenge

1. Angel Investors

One way to raise funds for your startup is through angel investors. Angel investors are individuals who invest their own money into startup companies in exchange for equity.

Another way is through venture capitalists. Venture capitalists are firms that invest money into startups in exchange for equity and a share of the profits.

2. Crowdfunding

You can also raise funds for your startup through crowdfunding. With crowdfunding, startups solicit small investments from many people, typically through an online platform. In exchange for their investment, backers typically receive rewards such as products or experiences related to the startup company.

2. Lack Of Talent

Another challenge startups face is the lack of talent. With limited resources, it can be difficult for startups to attract and retain top talent. This is where government programs that provide training and mentorship can be helpful. By investing in the talent of tomorrow, governments can help ensure that startups have the skilled employees they need to succeed.

Overcoming This Challenge

One way to attract top talent is by offering stock options. Stock options allow employees to purchase company shares at a set price in the future. This gives employees an incentive to help grow the company so that they can profit from their investment.

You can also offer flexible work hours and remote work options. This can be especially attractive to Millennials who value work-life balance and flexibility in their careers.

3. Red Tape

Government regulations and bureaucracy can be a minefield for young companies trying to get off the ground. This is why many governments have programs in place that help startups navigate the regulatory landscape. For example, Startup Canada offers free advice and support to Canadian entrepreneurs through its network of mentors and experts.

Staying Regulation-Compliant

1. Stay Informed

Make sure you are up-to-date on all the latest government regulations and policies. You can do this by subscribing to relevant newsletters, attending industry conferences or reading online resources.

2. Get Help

If you are struggling to understand or comply with government regulations, don’t be afraid to ask for help. There are many organizations out there that offer free advice and support to startups. You can also consult with your lawyer or accountant for guidance on how best to comply with the law.

3. Keep Track Of Progress

Document everything you do in relation to your business—from the amount of funding you raise to the number of employees you hire. This can help ensure that you meet all the requirements set out by the government.

Conclusion

Overall, startups face many challenges. From raising capital to complying with government regulations, it can be difficult for startups to survive and thrive in a competitive market. However, by taking advantage of resources such as angel investors, crowdfunding platforms and government programs, startups can increase their chances of success.

New data from Redfin shows that seller concessions, such as mortgage rate buydowns and cash credits for repairs and closing costs, are becoming increasingly common as high mortgage rates curb demand for homes. This may be keeping housing prices artificially elevated while the actual cost of buying a home falls—the Case-Shiller Index has been modestly declining since July, but the situation could be worse than it looks for sellers. 

Concessions were popular before the pandemic, but at the peak of the homebuying frenzy, sellers had all the power. Buyers pounced when new homes hit the market, sometimes offering to waive the inspection, while sellers fielded multiple over-asking offers and asked buyers to cover appraisal gaps. Now, as buyers pull back due to affordability concerns, homes are sitting on the market longer. It’s sellers who are looking desperate, while buyers expect to be persuaded.

How Common Are Seller Concessions?

In the fourth quarter of 2022, 41.9% of home sales involved concessions, a record high since Redfin began tracking concessions in July 2020. It even surpasses the portion of homes that sold with concessions during the three-month period ending in July 2020, when homebuying activity hit a wall due to the onset of the pandemic. And it’s a significant increase from the trough. Between April 2021 and September 2022, sellers offered concessions in only about one-quarter to one-third of home transactions. 

The data comes from buyer agents across the nation, who reported to Redfin when a seller offered something to reduce the buyer’s total purchasing cost. Cash credits for repairs, discounts on closing costs, and offers to buy down the mortgage rate were all considered concessions. Lowering the listing price was not considered a concession—but some sellers had to reduce their listing price or accept offers under-asking in addition to offering concessions. 

In fact, in 11% of home sales, sellers dropped the price, offered a concession, and still sold below asking. 19% of home sales had a concession and a price drop, and 22% of homes sold below asking even with a concession. 

Which Markets Are Most Impacted?

In San Diego, California, sellers offered concessions to buyers in 73% of home sales in Q4, an increase of more than 20 percentage points year-over-year. Phoenix and Seattle saw the biggest increase in the share of transactions involving concessions, exhibiting 29.7 percentage points and 25.6 percentage points, respectively. 

This is consistent with predictions from Redfin, Moody’s Analytics, and other analysts, which suggest the markets that experienced the most rapid increases in home values during the pandemic will be the most vulnerable to price declines. Concessions are becoming more popular in many of the cities that are expected to have the steepest corrections, including Phoenix and Seattle, where home prices have begun cooling—but there are outliers. 

For example, concessions have become slightly less popular in Austin, Texas. About one-third of home sales in Austin involved concessions in the fourth quarter of 2022, down from 38.1% the year prior. The trend of concessions concealing an actual decline in the cost of housing transactions may not be occurring there—but sale prices in the Austin market are cooling faster than in many other metros. 

Metros Where Most Home Sales Now Involve Concessions

Metros Where Concessions Have Increased the Most

How Can Investors Benefit?

If you asked a seller for concessions in the summer of 2021, you might have been laughed out the door. But it’s no longer unreasonable to expect mortgage-rate buydowns, warranties on home appliances, and cash credits for repairs or closing costs, even if you’re making an offer that’s less than asking. Keep in mind that homeowners made vast equity gains over the last two years—many are in the situation to be able to fund concessions without losing money on their homes. And the more you can reduce the cost of the transaction through concessions, the more you can increase your return. 

Find an Agent in Minutes

Match with an investor-friendly real estate agent who can help you find, analyze, and close your next deal.

• Streamline your search.
• Tap into a trusted network.
• Leverage market and strategy expertise.

Note By BiggerPockets: These are opinions written by the author and do not necessarily represent the opinions of BiggerPockets.

Everyone is talking about an economic crisis and asking how it will influence tech investments.

The good news is we’ve seen those kinds of crises in 2008. Before that, in 2000, in 1984, and a flash of it in 2020 (Covid19), and survived.

The bad news is it is painful. It was painful back then and painful today.

The ugly part with the bullish market in 2020-2021 and way over-inflated valuations, is that it will be very hard to return the investment to those who invested in an over-inflated market.

The pretty part is that those who raised a lot of money and have figured out a way to keep it or reach profitability will win big time.

To understand the startup funding challenges, you need to start with basic investors’ mentality. If you invested during 2020-2021 and in particular beforehand, then you have seen the value of your investment going through the roof, regardless if it was S&P500, Nasdaq, startups, or even more extreme cases like cryptocurrency, NFT, or any other mind-fart.

If you weren’t part of it, you have seen others making fortune through investments that perhaps didn’t make sense. That drags people into the always-up bearish perspective of “I’ve made tons of money in investing – therefore I’m a genius and I should be investing more into even more risky investments.” Or “everyone is making money, I want it too.” Or the most common approach of all, “I’ve made 20-30-40-50% on the stock market, I should take some profit and allow myself to invest in high-risk investments like startups or VC.”

Unfortunately, the bullish market era ended with a splash, and a bearish market took its place. Together with it a bearish market mindset. The profits people meant to use for investing in startups disappeared, or lost 25% on the S&P500 index fund. The investors don’t want to sell while losing, or more commonly, they thought that startups are risky and dound out that S&P can be very risky.

Add to that the inflation and higher interest rates, and all of a sudden for potential investors getting a 4-6% interest rate on USD is not that bad, and it is risk-free.

The result is people are inclined to invest in a startup in a bearish market, and even those who made commitments to VCs prefer not to invest. I’ve heard some VC partners quoting their LPs, saying that in the case of a capital call, they will keep their commitment, but prefer that you don’t call them.

VCs on their side realize that, preserve cash for the existing startups, and refrain from investing in new ones.

For entrepreneurs – it is winter time. Raising capital is harder, longer, and results in way less during the winter. The good news is that there is always spring after the winter.

But investors are right. Winter is a bad season to invest in. In fact, the return on investment during other seasons is higher than the investment made in winter time, and the reason is the next round.

The next round is still going to be in the winter time or just at the beginning of the spring and insufficient traction (due to insufficient funding in the first place) will make it harder to raise capital and in many cases that will slow down the startup journey.

What Can Startups Do? Go Back to Basics

· Solve a problem – solving a problem is the best way to create value. You need to create value in order to justify your existence. Your investors will give up on a company whose value is unclear.

· Focus – do one thing and one thing only, don’t spread. If you are trying to demonstrate product-market fit, don’t try to build a business model at the same time, or don’t try to go global. Serve the business, not the investorץ

· Adjust objectives and in particular adjust the organization to the objectives. At the end of the day, the most expensive part of the journey is the next month, when your organization is overinflated. It is still overinflated this month, in the next month, and the one afterwardץ

· Aim for profitability faster. It may be your objective if it is feasible, but the closer you get there, the less burn you carry with you, and the available cash will last longer.

Think of the burn and run rate again. If your revenues per month are $200k and your expenses are $600k, and you have $5m of cash, your run rate is a year. This may not be enough to get out of the winter. But if you can turn revenues to $400k a month, then you have two years of run rate.

Adjust quickly, don’t wait.

Outside of the roller coaster ride the FTX and Terra coins took, I have rarely seen anything quite like the trajectory nationwide rents have taken over the previous year.

Take a look for yourself.

Of course, this is only showing the year-over-year change and not the rents themselves. Rents are still up year-over-year despite the dramatic about-face that occurred around last March. That being said, we have reached an inflection point where rents have started to decline month-over-month in nominal terms as well. 

As Realtor.com notes,

“In November 2022, the U.S. rental market experienced single-digit growth for the fourth month in a row after ten months of slowing from January’s peak 17.4% growth. The median rent growth across the top 50 metros slowed to 3.4% year-over-year for 0-2 bedroom properties, the lowest growth rate in 19 months. The median asking rent was $1,712, down by $22 from last month and $69 from the peak but is still $308 (21.9%) higher than the same time in 2019 (pre-pandemic).” [Emphasis mine]

And if we were to account for inflation, the decline is even sharper.

Furthermore, the “builders strike”, as I call it, “could also put off home shopping plans and further increase rental demand.” The supply side also bodes poorly (or bodes well, depending on your perspective) for future rent prices,

“On the supply side, the number of for-rent properties may gradually increase as homebuilding activity continues to pivot to multi-family properties. This extra supply in multi-family homes could shift market balance, raising the still-low rental vacancy rate and helping temper recent rent growth driven by the excess demand.”  

To drive home just how dramatic this shift has been, compare the fastest metro-level rent growth in the top ten cities over the past six months, 12 months, and since the beginning of the pandemic, according to data from ApartmentList. It goes from 37% growth since March of 2020 (Tampa) to 7% in the last 12 months (Indianapolis) to 1% in the last six months (Indianapolis). 

When the fastest-growing metro area is at 1% growth, that should tell you everything you need to know. 

For what it’s worth, the worst-performing market over the past six months was Providence, Rhode Island, at -6%. Since March 2020, the worst has been San Francisco at -5%, but that is mostly due to local factors. In fact, San Francisco is one of only two markets with negative rent growth since March 2020 and one of only five with less than 10% positive rent growth.

Why is This Happening?

One part of this is just seasonality. Prices and rents both tend to dip a bit in the winter. But this is a much larger dip than normal seasonality would predict. There’s much more to the story than just that.

Before the Fed started jacking up interest rates, real estate prices were skyrocketing due to a variety of factors, most notably historically low interest rates and the large, country-wide housing shortage that came from a decade of insufficient housing construction. That shortfall in supply was then further exacerbated by Covid and lockdown-induced delays. 

The housing shortage had the same effect on the rental market as it did on the sales market. However, when rates went up, the “sellers strike” began, and new listings fell dramatically. Remember, unlike in 2008, most homeowners today have 30-year fixed loans with low interest rates. There is little incentive to sell.

So one of the first pieces of advice I gave given this new and very odd market was, “[I]f you own your home and need to move for work or other reasons, selling your home is not the way to go.” You really shouldn’t ever sell or refinance a house with an interest rate of 3% or less.

“Instead, it makes more sense to rent out your current home and then rent where you are moving (assuming it doesn’t make sense or is unaffordable to buy there).”

It turns out that a lot of people took this advice or had a similar thought. At the same time that new listings are way down, we have noticed the number of rental listings shoot up in every submarket of the Kansas City metro area we have properties in, both for houses and apartments. It appears to be that way all around the country.

Furthermore, while rents on new listings were increasing by over 15% from one year to the next, that was nowhere near the rent increase the average tenant had to pay. As NPR pointed out, “Government consumer price data show that the average rent Americans actually pay—not just the change in price for new listings—rose 4.8% over the past year.”

The average increase on a lease renewal hasn’t come close to the average increase on a new rental listing. Thus, not surprisingly, many tenants (like homeowners) aren’t moving. 

Americans, on the whole, are moving less than at any time since 1948, and according to data from RealPage, apartment lease renewals are at 65%, up almost 10% from just 2019. 

With more properties coming to the rental market, that increases competition and puts downward pressure on prices. At the same time, most tenants aren’t paying rent at market rates for new listings six months ago because their lease renewals weren’t keeping up with market increases. Thereby, they don’t have much incentive to move if they are going to have to pay a substantially higher price in order to do so. 

Several other trends have also contributed to this state of affairs. For one, many of the construction projects Covid delayed have finally come online, adding additional supply to the market. In addition, inflation and rising housing costs were nearing the limits of affordability in the middle of 2022. This has hampered rent growth, particularly by convincing more Americans to move in together.

As many as one-in-three adults rely on their parents for financial support, and many young adults, in particular, have taken to moving back in with their parents. More Americans are also open to renting out a room or portion of their house. A Realtor.com survey found that a full 51% of homeowners were willing to rent out extra space in their homes, a rate that is highest amongst Millennials (67%). Indeed, Americans living with roommates is an increasingly prevalent trend for years. 

All of these trends put together are bringing rental prices back down to Earth. 

Is Renting Your Property Now a Bad Idea?

As with the real estate market in general, it is highly unlikely that the rental market will collapse. After all, there is still a housing shortage, and new construction is slowing down again because of high rates (at least high by recent standards).

Furthermore, many people who were looking to buy a home are in the process of giving up and looking to rent. As their plans change, that will increase demand and put upward pressure on the market. And again, part of this recent decline is just seasonality, and as we enter the warmer months, the market should heat up again (pun possibly intended, I’m not quite sure), at least to a certain extent.

Rents skyrocketing over the past few years was an aberration, and the fact they are coming back down to Earth may not be great for landlords, but it is better for the country on the whole. While new purchases are made more difficult by higher interest rates, the rental market should stabilize. 

You should not expect rents to be much higher next year than they are now. But I wouldn’t worry too much about being unable to rent your properties.

On The Market is presented by Fundrise

Fundrise is revolutionizing how you invest in real estate.

With direct-access to high-quality real estate investments, Fundrise allows you to build, manage, and grow a portfolio at the touch of a button. Combining innovation with expertise, Fundrise maximizes your long-term return potential and has quickly become America’s largest direct-to-investor real estate investing platform.

Learn more about Fundrise

Note By BiggerPockets: These are opinions written by the author and do not necessarily represent the opinions of BiggerPockets.

Dennis McGill, Zelman & Associates, joins ‘Closing Bell’ to discuss whether we’ve reached a housing inflation peak and if it will show up in tomorrow’s numbers.