The U.S. kitchen and bathroom market is expected to grow by 16.6% in 2021 and reach 158.6 billion U.S. dollars

 The U.S. kitchen and bathroom market is expected to grow by 16.6% in 2021 and reach 158.6 billion U.S. dollars

The United States is the world's largest importer of kitchen and bathroom products. For exporting kitchen and bathroom companies, the US market is very important. In January 2021, the National Kitchen and Bathroom Products Association (NKBA) released the "2021 Market Outlook Report". The report shows that the U.S. kitchen and bathroom industry will continue to grow, and the overall expenditure on kitchen and bathroom projects will increase in the coming year.

The industry predicts that after the overall decline of 5.9% in the U.S. kitchen and bathroom industry in 2020, it will reach 158.6 billion U.S. dollars in 2021, an increase of 16.6%, and an increase of 9% in 2018 and 1% in 2019. At the same time, it is expected that the growth of new houses will exceed 22%, while the renovation project will increase by 10%. High-end and mid-range projects are expected to lead, both of which are expected to increase by 20% over last year.

U.S. owners believe that the kitchen and bathroom areas are twice as important as other spaces in the house. During the COVID-19 pandemic, the status of the kitchen is particularly prominent. 70% of the owners believe that the kitchen is extremely important. Previously, this proportion was 64%. With people's renewed attention to these family areas, the industry expects that large-scale interior renovation projects, including kitchen renovations, will usher in a new round of changes. This year may see a shift from the DIY craze for owners in 2020 to the need for professional installers for kitchens and bathrooms. Many of these projects may be delayed by owners during the pandemic due to the risk of installation personnel turnover.

Kitchen and bathroom market

The report pointed out some motives and inspirations to continue to promote the decoration of the project:

Although large-scale and more professional projects are planned to increase this year, owners are independent in saving money (attention 25%), project execution in their leisure time (attention 23%), and health and safety issues (22%) The main reason for the increase in DIY level.

Residents said that improving the aesthetics of the house is the main motivation for remodeling the bathroom (16%) and kitchen (15%), followed by maximizing the quality and durability, and increasing the value of the house.

Owners pursuing cost-effectiveness and maximizing the use of existing budgets focus on renewing cabinets (52% of projects), plumbing (43% of projects), smart home products (57% of projects), and water purification systems (54% of projects) %) is the focus of the kitchen upgrade.

Both family income and family structure affect the consideration of kitchen renovation costs. "Mature families", that is, families over 45 years old and without children, have the highest proportion of upgraded kitchen functions.

Google search and social media are the main sources of inspiration for kitchen and bathroom renovations. Most owners stated that they rely on more than one source to inspire inspiration for the renovation. Young single homeowners or couples tend to rely more on Google and Instagram, while adults over 45 value inspiration from other families.

Economic indicators that may affect renovation activities include:

A 10% increase in the operating rate of single-family housing in 2020 will drive a 17% increase in new residential building materials in 2021.

Of the total expenditure on residential kitchens and bathrooms, new houses accounted for 57%, reaching US$90 billion; residential renovations accounted for 43%, reaching US$68.6 billion.

Mortgage interest rates, which are about 1% lower than a year ago, will continue to drive the home buying boom.

With the United States for sale of stock houses hitting a record low, stock houses will usher in price appreciation, which will indirectly promote house renovation rather than purchase of new houses.

The research report predicts that, driven by supply shortage and potential demand, total house prices will appreciate by about 31% between 2020 and 2023.