2025 Kitchen & Bath Industry Mid-Year Forecast: Growth Slows, Opportunities Shift
- From NKBA
- August 10, 2025
We shares insights from NKBA’s Mid-Year Kitchen & Bath Market Outlook Update to help industry professionals plan ahead
Aug/05/2025 — The National Kitchen & Bath Association (NKBA), in collaboration with John Burns Research and Consulting (JBREC), has released its 2025 Mid-Year Kitchen & Bath Market Outlook Update, offering a sobering yet insightful forecast for the remainder of the year. As a leading brand in the kitchen and bathroom fixture industry, Cranach is committed to keeping our partners informed—whether you are a builder, contractor, designer, plumber, or retailer—so you can navigate these shifts with confidence.
Key Highlights from the Report
Market Size Forecast:
U.S. residential kitchen and bath market expected to total $228 billion in 2025, down 1.7% from $232 billion in 2024.
Remodeling vs. New Construction:
● Remodeling will account for $120B (53%) of all spending
● New construction forecasted at $108B (47%)
Pro Remodeling Growth:
● Professional remodels projected to grow 2.0%
● DIY remodeling expected to decline by -2.2%
Segment Composition:
● Homeowner remodeling: $75B
● Rental/Investor remodeling: $45B
● Single-family new construction: $94B
● Multifamily new construction: $14B
Category Breakdown:
● Kitchen-related spending: $112B
● Bath-related spending: $116B
Industry Challenges & Pressures
● The report underscores several macroeconomic headwinds delaying recovery:
● Labor Constraints: Skilled labor shortages continue, with fewer than one unemployed person per job opening in the construction sector.
● Rising Costs: Material prices and labor costs remain elevated, squeezing project budgets.
● Consumer Hesitancy: Persistent economic uncertainty is slowing household project approvals across all income levels.
● Oversupply in Multifamily Housing: Construction completions are outpacing household formations, dampening demand for kitchen and bath products in this segment.
A Word from Cranach
“As the market evolves, so do the expectations of our partners,” said Lion, CEO at Cranach. “We’re aligning our product development and service model around the needs of today’s builders, contractors, and designers—delivering durable solutions, streamlined installation, and timeless design.”
Let’s Build the Future Together
Whether you’re preparing for a new build or planning a renovation project, Cranach is here to support you with innovative products, expert guidance, and dependable partnerships.
Are you looking to stay competitive in a changing kitchen & bath market?
Email us today to request the full 2025 NKBA Market Outlook Report and gain access to the latest insights, forecasts, and trends shaping the industry.
📧 info@cranachhome.com
Source: NKBA 2025 Mid-Year Kitchen & Bath Market Outlook Update; conducted in partnership with John Burns Research & Consulting (JBREC)
