The wood flooring industry is optimistic for growth in 2025, with more than 60% of respondents in our annual National Wood Flooring Association (NWFA) Industry Outlook survey expecting sales to increase, reports Hardwood Floors Magazine. About a third expect sales to stay the same in 2025 versus 2024.

Expectations for 2024 were more muted. The election year is at the top of many members’ minds, and some respondents say they are seeing a slight softening in the market.

The latest Leading Indicator of Remodeling Activity (LIRA) from the Joint Center for Housing Studies of Harvard University, released in July 2024, forecasted annual expenditures for improvements and repairs to owner-occupied homes to decrease this year and into the first quarter of 2025 – but at a slower rate than initially forecast. Remodeling spending is anticipated to tick up through mid-year 2025.

In 2023, we saw cooling in single-family home building due to higher interest rates and construction costs. In June 2024, privately owned housing starts were 4.4 percent below the June 2023 rate. A limited amount of existing inventory and pent-up demand have fueled single-family construction, according to the National Association of Home Builders.

Conversely, multi-family construction shows signs of slowing from last year’s highs; multifamily starts were down sharply in June. Low inventory of existing homes will continue to encourage new construction at a slower pace.

Nearly 66% of NWFA members expect increased demand for cleaner, more natural wood colors in 2025. White oak remains a dominant selection.

“White oak has been in demand for the last few years and doesn’t look to be slowing down. People want white oak with a natural finish,” said Thomas Buxton, sales manager at Mountain Craft Wide Plank.

Source: floordaily.net