National Kitchen & Bath Association Releases Midyear Market Outlook Update

The National Kitchen & Bath Association has released its midyear Market Outlook Update, its final forecast for 2022. The report’s goal is to provide a thorough assessment of how various economic and housing developments are impacting the kitchen and bath industry.

The outlook includes an amended gauge of how the industry is expected to fare by year’s end, taking into account trends that have developed since the last report, such as sharp rises in mortgage rates and inflation. NKBA commissioned John Burns Real Estate Consulting to conduct the study. The analysis is based on various government and industry sources along with JBREC’s own internal forecasting models.

Key takeaways include:

• Full year revenues are expected to reach $189 billion, 16% higher than last year but $10 billion below the initial 2022 forecast.
• Mid-spend projects are expected to increase by 20%, followed by high-end at 15% and low-end at 11%, with more modest projects likely scaled back due to inflationary pressures.
• Record homeowner equity exceeding $300,000 has helped maintain strength in larger remodel projects.