People loot and craft furnishings every single day, but what happens with all the undesirables? They don't sell fast, banks and chests are overflowing, and people fill their spare homes with junk piles.
Currently, the only way for furnishings to exit circulation is to destroy them or sell them for a coin and a half at an NPC vendor, and people are understandably hesitant to waste something potentially valuable.
You simply can't have a system that's all input and no output. That's why the system is clogged.
I understand there's been a lot of discussion over the years about a separate furnishing storage being "impossible" to code, but at the very least people need to be able to deconstruct what they don't need so that they can extract some value out of it instead of trashing it entirely.
Crafting material would become cheaper, player inventories would open up, and the servers wouldn't have to unnecessarily render thousands of useless furnishings in peoples homes.
It's such a simple thing that would greatly benefit everyone involved, I find it absolutely baffling it hasn't been done yet.