What Will Be More (and Less) Expensive in 2018
Your budget won't like this, but there are a number of goods and services you can expect to be considerably more expensive next year. The good news is, some stuff will be a lot cheaper, too.
DealNews recently sent us their roundup of items that will cost more in 2018 , along with another roundup of items that will be cheaper next year. Based on their insight as well as some retail experts we interviewed, here's what you can expect in 2018.
What Will Be More Expensive
: Smartphone prices have already started to rise. The latest iPhone model jumped to a whopping $999 and the Google Pixel 2 XL launched at $849. We're now
Travel : While airfare has been historically low over the past couple of years , the Global Business Travel Association expects that prices will rise by 3.5% next year, so you might opt for a road trip instead. They expect hotel prices to rise by 3.7%, too. "The reason? Stronger global economy and rising oil costs," James says. Prices will vary depending on the destination, of course, but DealNews adds that The National Park Service has already proposed more than doubling entrance fees to some parks . In fact, it's already increased the senior pass price from $10 to $80.
Poultry and Other Grocery Staples : While some grocery items, like dairy, beef, and eggs have been falling recently, the Consumer Price Index estimates that overall prices for groceries will increase by 1% to 2% next year. DealNews reports that prices for some items will be even higher. "For example, poultry prices are expected to go up due to supply issues. And avocados, which were on our price hike list for 2016, are still getting more expensive ."
What Will Be Cheaper
Organic Groceries: While overall grocery prices are expected to rise by 1-2% next year, organic grocery prices may actually go down. Amazon's recent acquisition of Whole Foods has led to slashed prices," Harper writes. It's more than a guess: Nielsen has already reported a price drop for generic organic foods.
4K Televisions: If you don't mind-or better yet, if you prefer-the ultra-high-def look of 4K, you can score a 4K television for cheaper in 2018. "This past Black Friday these came way down in price and that trend will continue into 2018," says James. "Especially during the two weeks leading up to the Super Bowl. Plus, 4K Blu-ray players are now under $100 making 4K movies more affordable as well."
Used Cars : Used cars continue to drop in price and the trend will likely continue into the new year. According to data from Black Book, an auto analytics company, the average used car lost 17% of its value annually, dropping from $18,400 to $15,300. Part of the reason for the trend is that car leases have become more popular and affordable, so when those leases expire, that leads to a larger used car inventory . More supply, less demand. In fact, Morgan Stanley estimates prices will drop between 20 to 50% over the next several years.