The Skyrocketing Price of Eggs: More Than Just a Carton of Pain
If you’ve felt the sting at the grocery store lately, you’re not alone. The price of eggs has become a painful reality for consumers across the U.S. According to Ben Carlson, CFA from A Wealth of Common Sense, the price of eggs has skyrocketed by 15.5%/year in the last five years, and in the past year alone, they’ve nearly doubled! In fact, the bird flu has claimed over 100 million egg-laying hens, contributing to the shortage and forcing prices to soar.
And it’s not just consumers buying eggs for breakfast who are feeling the impact. Grocery shelves are empty, and even Waffle House, Inc. had to add a temporary egg surcharge of 50 cents per egg just to stay afloat. But what’s more concerning is how eggs are now fueling inflation, pushing overall inflation numbers higher.
The Psychological Impact: When Eggs Are $9 a Carton, Can Homebuyers Afford to Buy a House?
As egg prices continue to rise, they serve as a constant reminder of how much more expensive everything has become. For potential homebuyers, the visible price hike at the store can have a profound psychological impact—especially when considering taking on the financial commitment of a mortgage. If $9 a dozen for eggs feels like a burden, how could anyone rationalize purchasing a home in this environment?
The reality is, when consumer sentiment is affected by price increases, it makes people more cautious about making big financial decisions, like buying a home. As Carlson points out, the pain of price increases hurts consumers more than the relief of lower prices, a concept known as loss aversion.
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So, What’s the Solution? Renting Chickens, Of Course!
If we’re going to be living with high egg prices for the foreseeable future, maybe it’s time to rethink how we get our eggs. Enter Rent The Chicken, a fun, creative, and surprisingly practical solution to the egg dilemma. Yes, you can rent chickens and get your own supply of fresh eggs! For just $1,550, you can get a complete setup, with three hens, a portable Amish-made coop, and all the supplies you need to start producing your own eggs right at home.
Renting chickens might not fix the housing market, but it sure could lighten the mood while we ride out the economic waves. And for mortgage and real estate professionals, it’s a reminder that consumer psychology is a real thing—and we should be mindful of the small price increases that can lead to big emotional reactions.
While potential homebuyers may feel hesitant now, it’s important to remind them of the long-term value of homeownership, regardless of what’s happening with egg prices. When the dust settles, homeownership remains one of the best ways to build wealth, and helping clients get there is the real goal.
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For more on the egg situation, check out these articles: