This sort of thing should be regulated. There is a line between healthy capitalism and crass exploitation of the poor by the rich. The poor and unaware need to be protected.
These people are buying a $1500 sofa when there are used alternatives readily available.
EDIT: I am not saying this should be illegal. Clearly, Buddy's is offering a useful service to people who are turned away by other establishments. But there needs to be some regulation. You shouldn't be able to charge $4500 for a 1500$ couch.