MILWAUKEE — Even as a report showed that U.S. inflation slowed in February, about 65% of Milwaukee adults see it as a top concern impacting their finances in 2025, according to a study by Northwestern Mutual.
Close to half rank it as their top obstacle to obtaining financial security; a little more — 53% — say they think inflation will continue to increase this year.
The most recent consumer price index report shows inflation at 3.4% in Wisconsin.
Consumers in Milwaukee are feeling that everywhere, especially at the grocery store. At least 90% of those surveyed in the city say they’ve encountered higher grocery costs in the last three months.
It comes as things like bird flu have driven up the cost of eggs. According to the U.S. Bureau of Labor Statistics, the average cost of a dozen eggs was $5.89 in February.
The second largest cost burden in the study was utility costs, with close to 70% experiencing rising prices. Just over half also said they’re dealing with elevated gas costs.
At least 53% say housing expenses have risen. That’s compounded by homeownership feeling unattainable for many, according to the study. Over half of people who aren’t currently homeowners said that they don’t think owning a home will ever be “financially affordable” for them.
The average home price for a home in Milwaukee was $214,500 in February, a 15.3% increase compared to the year prior, according to Redfin data. That’s slightly below the statewide average estimated in the Wisconsin Realtors Assocation’s February report, which put the average price at $304,000.
Income may have something to do with perceived affordability. Close to two-thirds of Milwaukeeans in the study said they think their household income is growing slower than inflation. In the context of housing, a Wisconsin Policy Forum report last March found that incomes weren’t keeping pace with home prices.
In the Northwestern Mutual report, the main reason people across the U.S. said they didn’t think owning a home was affordable was because they didn’t have enough money saved for a down payment. High mortgage rates, competition and other homeownership costs, like insurance and repairs, were cited as other reasons.
When considering all these factors, only 38% of Milwaukee adults said they felt financially secure.
Northwestern Mutual’s 2025 Planning & Progress Study surveyed over 4,000 people aged 18 or older across several major metro areas, including Milwaukee. The polling took place between Jan. 2 and 19.
