Report Price: $1995
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The NKBA has completely revamped its annual Market Outlook originally released in February. Working again with John Burns Real Estate Consulting, the report’s intent is to provide a thorough assessment of the U.S. residential kitchen and bath industry, including a gauge of current market size and a forecast for the entire year. The update reflects the impact of the pandemic across the industry, with two-thirds of its pages new or revised. Included are two sections devoted exclusively to COVID-19. Estimates for 2020 are based on housing industry factors and consumer preference behaviors, both of which have undergone changes since the February report.
At the pandemic’s mid-April peak, 81% of projects were cancelled or postponed, but 70% of respondents say they plan to resume their projects later in the year.
Key Takeaways
- Residential kitchen and bath spending will decline in 2020, decreasing from $148.1 billion in 2019 to $130.8 billion, or 11.7%.
- New construction spending is expected to fall by 8.7%, and kitchen & bath remodeling by a sharper 15.2%.
- Bathroom spending is estimated to total $70.4 billion for the year, vs. $60.4 billion for kitchen expenditures.
- Spending for medium and large-scale kitchen and bath projects are projected to decline by 22%, considerably more than the 14% for smaller projects.
- At the pandemic’s mid-April peak, 81% of projects were cancelled or postponed, but 70% of respondents say they plan to resume their projects later in the year.
- Nearly one third of consumers are changing the way they use their kitchens and baths due to the pandemic, with an increased focus on ease of cleaning and a closer look at touchless faucets, toilets and showers.
- Increased time at home has led to more home-related projects and DIY jobs.
- 80% of kitchen and bath designs become obsolete after 15 years, particularly cabinets, faucets and plumbing fixtures.
Additional Topics Covered
- COVID-19 effects on new home sales and affordability.
- Top reasons driving homeowners to remodel.
- Average spend per project.
- Leading methods used to fund kitchen and bath remodels.
- Key factors for project delays and cancellations.
- Trends in DIY usage vs. professional contractors during COVID-19.
- Challenges and opportunities resulting from the pandemic.