Hardware Retailing The Industry's Source for Insights and Information
Spending on home improvement projects and repairs is expected to be up 9 percent in 2022 compared to spending in 2021, according to the Joint Center for Housing Studies of Harvard University. While that’s good news for contractors and home improvement retailers, the continuing product shortages and supply chain issues will cause headaches for some, especially those taking on certain home improvement projects.
According to the National Association of Home Builders (NAHB), these are the top three product shortages that will affect some common home improvement projects your customers may be working on next year. You can help your customers navigate these shortages by sourcing products from different companies, offering alternative products and being honest and upfront about the issues. For other best practices on navigating supply chain issues, click here.
Home Appliances
According to a NAHB survey, nearly 90 percent of home builders had trouble getting appliances in 2021 and expect to have many of the same issues in 2022. The shortage is mainly due to a semiconductor chip scarcity, but general supply chain issues have also plagued the appliance industry.
Lumber
From deck repairs to a new addition, any home project involving lumber will see delays in 2022. Lumber prices peaked in May 2021 and slowly fell the rest of the year before spiking again in December. In mid-December, Chicago lumber futures traded around $1,100 per thousand board feet, close to mid-June levels. Lumber prices stay elevated because of supply chain issues, flooding in Canada where the U.S. gets nearly one-third of its lumber and increased U.S. tariffs on soft lumber.
Windows and Doors
Labor shortages and supply chain issues affected window and door manufacturers as well. Projects needing windows or doors can expect delays as lead times for manufacturing doors and windows are nearly four times longer than normal, and sometimes even longer.
