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 is 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.
