When will furniture prices go down? It’s a question on a lot of people’s minds, especially since so many people are looking for furniture. In just about any other era, we’d be in what’s known as a boom time. But with COVID-related supply chain problems delaying deliveries and forcing furniture prices to inflate, it feels less like a boom time and more like doom time.
Fortunately, there is light at the end of this tunnel. High demand in the furniture industry plus supply-side challenges mean that buying furniture now may not save money. However, the time to buy furniture or to begin your furniture shopping quest is now — even if you wait for prices to drop or furniture sales to entice you before you actually push that BUY button.
When will furniture prices go down? In many cases, it’s already happening, but economic experts predict we’ll be in 2022 before prices start to tumble.
In any case, the answer to the question of when furniture prices will drop requires a bit of educated forecasting. We can base this forecasting on business and economic trends. It also requires a little bit of guesswork.
Back in July, CNN Business reported that consumers might have to “wait months, maybe even into 2022” for their furniture deliveries. That’s because, at the time, the spread of COVID in Asia was forcing factories to close. This was particularly the case in Vietnam, where a lot of furniture destined for the United States is manufactured.
“The situation in Vietnam,” CNN Business said, “will further impact U.S. furniture sellers who are already grappling with a global supply chain slowdown tied to shipping container and labor shortages, among other factors. That’s happening at the same time that demand for furniture is hotter than ever.”
Even American-Made Furniture?
But what about domestic furniture that’s made right here in the United States? Unfortunately, the same supply chain backups are evident. This is affecting everything from the delivery of raw materials, such as lumber, to the ability of trucking companies to ship products throughout the country.
CNN Business quotes Mark Schumacher, the CEO of Home Furnishings Association, which represents more than 1,500 retailers.
“Domestically-made furniture also uses components that are imported,” he said. “Those pieces are caught in these delays. We’re caught in this cycle of disruption. Every time we take two steps forward, it’s two steps back.”
Add these furniture supply chain delays to the increase in demand brought about in part by Americans relocating to new homes and upgrading the furniture in their existing homes (especially home office furniture) and you have a snowball effect that has businesses and their customers frustrated and searching for solutions that are hard to come by.
In other words, there’s not much that can be done locally to kickstart a supply chain that’s ground to a halt by a pandemic of historic and deadly proportions.
Adding to the frustration for consumers is an increase in price brought about by these same economic factors.
“Furniture and bedding prices reached the highest level in April since 2013, according to data from the Bureau of Labor Statistics,” reports MarketWatch. “Furniture prices were up nearly 8% year over year in April, nearly double the overall rate of inflation that month.”
And it’s not all COVID-related, either, despite the pandemic taking over nearly every aspect of our lives these days. Other unrelated problems have cropped up in furniture production, including a foam shortage caused by winter storm power outages in the southern United States.
Factories knocked offline during those storms have been unable to keep up with demand for propylene oxide. That’s the main ingredient in the production of foam for mattresses, chairs, couches, and more.
Additional furniture components — “nuts, bolts, fabrics, drawer rails, and brackets” — are also on backorder due to the upheavals in the supply chain and related markets.
So what is a consumer to do? Right now, it’s best to go ahead and order your product with the understanding that it might be several months before it arrives at your home or on your local furniture store’s showroom floor.
The best resource for information on delivery timetables is the furniture retailers themselves. They can provide guidance that should help you make a decision about when to select your next piece of furniture.
As for when furniture prices will go down, keep these words of optimism in mind (from Business Insider).
“Consumer spending is on the upswing this year,” they write, “as many households built up their savings, partly due to the federal rescue packages which included enhanced unemployment insurance and direct payments. The nonpartisan Congressional Budget Office predicts that US GDP will grow by 7% this year, the highest level since 1984. As people spend their savings and demand evens out, supply chains will catch up, (causing) prices to drop.”
Those of us here at Broadway Furniture in Tigard want to thank you in advance for your patience and understanding. We’re all in this together. We look forward to seeing you in-store or online soon. You can visit the showroom and/or the website for the best in both indoor furniture and outdoor furniture specials.