3 Things Inflation Will Make Much More Expensive in 2026
Written by
Cindy Lamothe
Edited by
Zuri Anderson
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Inflation has a funny way of sneaking up on you. One day everything feels normal, and the next you’re staring at a receipt wondering when groceries started costing this much.
Now that 2026 is here, a handful of everyday things are poised to get noticeably pricier, even if overall inflation cools down. From small annoyances to big budget-busters, here’s what may cost you a lot more in the year ahead.
Housing Will Feel the Inflation Squeeze First
According to Dennis Shirshikov, professor of finance at City University of New York and head of growth and engineering at GrowthLimit, the price of housing is at the top of the list.
“Rent and home prices tend to grow more rapidly in periods of inflation because you can’t build that much, the cost of finance is pretty high and zoning prohibits new supply from coming on line quickly,” he explained. “Even small increases in borrowing costs lead to higher monthly payments, and that further adds upward pressure.”
Shirshikov said it would be prudent for households to reconsider their housing decisions early, consider fixed rate commitments when available and allocate with more margin in future long-term budgets.
Why Your Grocery Bill Keeps Creeping Up
According to Associated Press, the vast majority of U.S. adults said they’ve noticed higher than usual prices for groceries.
Shirshikov also noted that food prices are especially sensitive to energy, transportation and climate-related disruptions, which makes them prone to steady increases during inflationary periods.
“When input costs remain high, producers adjust prices upward even if demand has not changed,” he said.
The most reliable way to adapt is to be more intentional about how and when food is purchased: Stocking up on staples when prices dip, using subscriptions or warehouse shopping strategically and cutting down on waste so each grocery dollar goes further.
Insurance Costs Are Climbing in 2026
“Insurance will almost certainly become more expensive because insurers are paying higher replacement costs and absorbing greater climate and catastrophe related risks,” said Shirshikov.
He also observed that auto, homeowners and renters insurance all become more costly when claims are tied to rising labor and material expenses. You can push back by reassessing deductibles, bundling policies where it makes sense and shopping around more deliberately at renewal time.
Keeping coverage details up to date and adjusting limits thoughtfully helps maintain protection without paying more than necessary.
Inflation Is a Signal, Not a Phase
“People should treat inflation as a signal rather than a temporary inconvenience,” Shirshikov emphasized.
It’s a reminder to build resilience into every major financial decision. That means prioritizing savings, reducing high-interest debt and revisiting the assumptions behind their largest expenses.
Shirshikov concluded, “A household that updates its financial strategy annually, much like a business conducts forecasting, stays ahead of cost increases rather than reacting to them.”
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