Residential Behind the Wall Plumbing Demand Boosted by New Home Construction & Design Trends

A new Freedonia Group analysis finds that strong growth in new single-family home construction in the first part of the forecast period will boost demand for behind-the-wall plumbing products through 2025, as a wide variety of plumbing products are installed during initial home construction:

• New homes are expected to include more and larger bathrooms with elaborate designs – such as his and her sinks – that require more plumbing fixtures, further driving gains.
• Additionally, ongoing heightened interest in renovations among homeowners spending more time at home due to the pandemic will boost demand growth, as many of these projects are anticipated to involve kitchen or bathroom renovations.

The analysis projects spending on home kitchen and bathroom renovation projects to grow 5% annually to just under $100 billion in 2025, supported by such factors as:

• A favorable lending environment and rising property values, which will encourage homeowners to take out the home equity lines of credit often used to fund renovations
• Homeowners continuing to renovate and expand kitchens to facilitate meal preparation, such as by adding prep sinks or pot fillers
• The efforts of homeowners to add or remodel bathrooms to facilitate aging in place, create multigenerational residences, or simply to improve convenience
• Consumers’ perceptions that kitchen and bathroom renovation projects are a more effective way of increasing a home’s value relative to other remodeling projects

Design trends favoring larger kitchens for family gatherings and entertaining guests will promote gains in the larger kitchen remodeling segment. Interest in professional-style kitchen amenities that involve installing more fixtures and fittings will also promote growth.

Bathroom renovation spending will be supported by such projects as bathroom additions to improve convenience and functionality and design trends like exposed plumbing and spa-like features. Older US consumers installing fixtures like walk-in bathtubs and elevated toilets to facilitate aging in place will bolster gains, as well.