Smith Leonard Reports April 2026 Furniture Insights

May 10, 2026  by Karen Parrish in Business Strategy, Industry   

HIGHLIGHTS

- New orders were up 2% compared to the prior month of January 2026 and up 1% compared to February 2025. Year to date, new orders are up 1%

- February 2026 shipments were up 4% compared to January 2026 and up 2% from February 2025. Year to date, shipments are down -3%.

- February 2026 backlogs were up 2% compared to January 2026 and flat with February 2025.

- Receivable levels were down 1% from January 2026, and down 3% compared to February 2025.

- Inventories were down 4% from January 2026 and up 7% from February 2025.

- Payrolls were down 4% compared to January 2026, but up 1% compared to February 2025.

- Employee levels are again materially in line with recent months and the prior year.

National

Consumer Confidence

The Conference Board Consumer Confidence Index® edged up by 0.6 points to 92.8 (1985=100) in April, from 92.2 in March’s upwardly revised reading.

The Present Situation Index—based on consumers’ assessment of current business and labor market conditions—retreated by 0.3 points to 123.8.

The Expectations Index—based on consumers’ short-term outlook for income, business, and labor market conditions—rose by 1.2 points to 72.2.

Consumers’ plans to buy big-ticket items over the next six months continued to shift from “yes” and “maybe” in February, to “no” in April. Nonetheless, the proportion saying “yes” remained well above the other responses. Used cars, furniture, TVs, and smartphones remained the most popular items within their respective categories for future purchases. Among pricy items, furniture remains the top expected purchase.

Buying plans for autos continued rising on a six-month moving average basis in April, with used cars remaining the clear preference over new cars. Homebuying expectations staged a mild recovery on a six-month rolling basis for both existing and new units in the month, with consumers continuing to prefer existing homes to newly built ones. Purchase plans for all types of home furnishings, white goods, and electronics on a six-month moving average basis continued to improve in April.

Housing

Existing-home sales decreased by 3.6% month-over-month in March, according to the National Association of REALTORS® Existing-Home Sales Report. The report provides the real estate ecosystem—including agents, homebuyers and sellers—with data on the level of home sales, price, and inventory.

Month-over-month sales fell in all four regions. Year-over-year sales rose in the South and West and fell in the Northeast and Midwest.

NAR also revised its 2026 housing forecast. Due to the upward trajectory of mortgage rates, NAR now expects existing-home sales to increase 4% this year, down from the previous projection. New-home sales are now expected to remain flat, a downward revision from the prior forecast of a 5% gain. The median home price forecast remains unchanged, with prices still projected to rise 4% in 2026.

Total Existing-Home Sales for March

- 3.6% decrease in existing-home sales1 month-over-month to a seasonally adjusted annual rate of 3.98 million.

- 1.0% decrease in sales year-over-year.

Single-Family-Homes Sales in March

- 3.5% decrease in sales month-over-month to a seasonally adjusted annual rate of 3.63 million, down 0.3% from March 2025.

- $412,400: Median home price, up 1.3% from last year.

Condominiums and Co-ops Sales in March

- 5.4% decrease in sales month-over-month to a seasonally adjusted annual rate of 350,000, down 7.9% from last year.

- $371,500: Median price, up 2.3% from March 2025.

Mortgage Rates

- 6.18%: The average 30-year fixed-rate mortgage in March, according to Freddie Mac, up from 6.05% in February and down from 6.65% one year ago.

Gross Domestic Product
Real gross domestic product (GDP) increased at an annual rate of 2.0 percent in the first quarter of 2026 (January, February, and March), according to the advance estimate released by the U.S. Bureau of Economic Analysis. In the fourth quarter of 2025, real GDP increased 0.5 percent.

Compared to the fourth quarter of 2025, the acceleration in real GDP in the first quarter of 2026 reflected upturns in government spending and exports, and an acceleration in investment that were partly offset by a deceleration in consumer spending. Imports turned up.

THOUGHTS FROM MARK LAFERRIER, ASSURANCE PARTNER
“It was good to see many of you in High Point for the Spring Market. While traffic was clearly down overall for a variety of reasons, those in attendance were there to do business and upbeat despite the many outside distractions.”

The impact of fuel prices on the overall economy and specifically on the price of materials (poly/cushions/etc.), and how/when to pass along, were widely discussed. Tariffs were again a hot topic, but this time how and when they would be refunded, a process that most we spoke to had already started.”

“As to our stats program, new orders and shipments were up in February 2026 over the prior year and month after a slow start. However, certain segments of the industry continue to perform better than others overall, with upholstery generally outperforming case goods, and the high/middle outperforming the low-end.”

“There continue to be some signs of hope with consumer confidence despite all the “noise” and people continue to buy furniture, so perhaps the industry will finally see the now long-time, pent-up demand realized as the year moves along. In the meantime, it seems like another season to control what can be controlled, focus on what companies do best, look for opportunities to operate more efficiently, and strengthen relationships with vendors, employees, and customers.”