2023 Kitchen & Bath Market Outlook
Report Price: $1995
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The National Kitchen & Bath Association has just released its annual Market Outlook report. This detailed report provides an estimate of the current size of the K&B market (in US dollars), 2023 forecasts, and a thorough assessment of how various economic and housing market trends are impacting the kitchen and bath industry. NKBA commissioned John Burns Real Estate Consulting (JBREC) to work with them to develop this research report. This analysis is based on data from various government and industry sources and JBREC’s own internal forecasting models.
K&B revenues are expected to decline by 14 percent in 2023.
Key Takeaways
- 2023 kitchen and bath revenues are projected to total $162.4 billion in 2023, a decrease of 14 percent as compared to last year at this time.
- After peaking during the pandemic, household savings rates have declined in recent months (from 7.5% in December 2021 to 2.3% in October 2022).
- Remodeling will sustain the industry in 2023, 86% of outstanding mortgages are locked in at rates below 5% so those homeowners are choosing to remodel rather than to move.
- A notable segment of consumer remodelers are those who hurried to purchase homes during the pandemic (aka “settlers”) who are now renovating to improve or correct elements they don’t like or feel do not suit their families’ lifestyle.
- The Single-Family Rental (SFR) Market is critical to K&B spending in 2023. With the housing inventory expected to remain low, demand for SFR properties will be strong.
Additional Topics Covered
- Historical impact of inflation on the housing market
- Recession outlook and interest rates
- Home affordability
- DIY vs. PRO spending
- The impact of aging homes on K&B remodels