Australian Renovation Cost Guide

Trying to nail down the cost of your renovation in Australia can feel a lot like planning a big trip. Are you backpacking on a shoestring, or are you flying first class all the way? The final bill really depends on your style. A full-home renovation can set you back anywhere from $50,000 to over $300,000, and that number is heavily influenced by how big you want to go, the quality of materials you choose, and even your postcode.

What's the Real Cost of Renovating in Australia?

The first question on everyone's lips when they start dreaming about a new kitchen or bathroom is, "How much is this actually going to cost?" It's the bedrock of your entire project, influencing every single decision you make, from the tapware you pick to whether you knock down that wall.

A good way to get a ballpark figure is to think in terms of cost per square metre. It helps you set realistic expectations from the get-go. And it's no secret that renovation costs have been climbing across Australia, thanks to pricier materials and high demand for good tradies.

A Quick Guide to Cost Per Square Metre

As a general rule of thumb, you can expect a home renovation in Australia to cost between $2,500 and $4,000 per square metre. But think of this as a starting line, not a finish line. Your taste in finishes and fixtures will ultimately steer the final price. A simple cosmetic refresh will land on the lower end, while a high-end, bespoke project can easily soar past this range.

The chart below gives you a clearer picture of the different cost brackets, depending on the level of quality you're after.

As you can see, a budget-friendly reno might kick off around $2,000 per square metre, but if you have your heart set on premium materials and custom joinery, you could be looking at over $7,000 per square metre.

Let's break down some typical project costs to give you a clearer idea.

This table shows just how much the scope and quality can swing the total cost. It's a handy reference to keep in mind as you start mapping out your own project.

How Your Location Affects the Price Tag

Don't forget that where you live plays a huge role in your total spend. The cost of labour and materials simply isn't the same everywhere in Australia.

Certain rooms, like kitchens and bathrooms, are always more expensive because they require specialised trades (plumbers, electricians, tilers) and costly materials. A solid mid-range kitchen usually lands between $25,000 and $50,000, while a standard bathroom update can run anywhere from $5,000 to $35,000. These figures really drive home why getting detailed, location-specific quotes is so crucial. You can find more great insights on these cost breakdowns in recent Australian property analyses.

Breaking Down Your Renovation Budget

So, where does all the money actually go when you're renovating? It can feel like one big, mysterious number, but every project budget is really just made up of three key parts. Getting your head around these categories is the first step to feeling in control of your spending and making smart choices.

Think of your total reno fund as a pie. The three main slices are Labour, Materials, and all the Professional Fees and permits. Each one is crucial, and knowing how they work together will help you figure out where to save and where it's worth splurging.

The Cost of Labour

This is usually the chunkiest slice of the pie, often chewing up 30% to 50% of your total budget. Labour costs cover the skilled tradies who bring your vision to life - the plumbers, electricians, chippies, tilers, and painters. Let's be honest, their expertise is what makes a renovation safe, sound, and finished beautifully.

Across Australia, these rates can jump around a lot depending on the trade, their experience, and where you live. For example, getting a licensed plumber or electrician out to a job in Perth will likely set you back somewhere between $100 to $150 per hour. A good carpenter will be in a similar ballpark, while painters might charge a little less.

Here's a quick rundown of who does what and why they're essential:

• Electricians: You'll need them for any new lighting, power points, or switchboard upgrades. Their work is highly specialised and licensed for a reason, so expect to pay a premium for safety and compliance.
• Plumbers: Absolutely essential for moving pipes or installing new fixtures in kitchens and bathrooms. They make sure everything flows correctly and is up to code.
• Carpenters: These are the experts behind the structure. They handle framing, custom cabinetry, and the detailed joinery that gives a project its solid bones and polished look.
• Tilers & Painters: These are your finishing trades, and they make a huge visual impact. While their hourly rates might seem lower, the time they spend on meticulous, detailed work really adds up.

The Price of Materials and Finishes

Next up, we have materials. This part of the budget can be a real wildcard, accounting for anywhere from 20% to 40% of the total cost. This is where your personal style really shines, but it's also where your budget can blow out in the blink of an eye. The choices you make here, from tiles to tapware, have the biggest impact on the final look and feel of your space.

Just think about benchtops for a second. A budget-friendly laminate benchtop from Bunnings might cost around $200 per square metre. At the other end of the scale, a stunning natural marble slab could easily soar past $1,500 per square metre. That one decision alone can create a price difference of thousands of dollars in a standard kitchen.

For a much deeper dive into building out your financial plan, check out our guide on how to plan a renovation budget. It's packed with tips to make sure you've got all your bases covered.

Professional Fees and Permits

Finally, don't forget about the "behind-the-scenes" costs, which typically make up 10% to 20% of your renovation total. These are the professional fees and permits that ensure your project is well-designed, structurally sound, and completely legal.

Depending on how big your reno is, you might need to bring in a few different experts:

On top of these professional services, you'll need to budget for council permits. Simple cosmetic updates probably won't need one, but almost any structural change, extension, or major plumbing work certainly will. These application fees can run from a few hundred to several thousand dollars, depending on your local council and the project's complexity. Factoring these in from day one is the best way to avoid nasty surprises down the track.

Working Out the Costs for Kitchens and Bathrooms

Alright, let's talk about the big two. When you're planning a reno, the kitchen and bathroom are almost always the heavyweights, both in terms of the work involved and the chunk they take out of your budget.

These aren't just any rooms. They're high-traffic, highly functional spaces crammed with plumbing, wiring, and expensive fixtures. Think of them as the engine room and the control centre of your home – a lot is going on behind the walls and under the floor. That's why getting the budget right for these two areas is absolutely make-or-break for your entire project.

Decoding the Cost of a Kitchen Renovation

The kitchen is the heart of the home, right? Well, the cost to renovate it certainly reflects that. In Australia, you could be looking at anything from a $5,000 cosmetic facelift to a full-blown custom job that sails past $50,000. Where your project lands on that scale really boils down to three things: are you moving walls and pipes, what materials are you choosing, and how fancy are the appliances you want?

Let's break it down into a few common brackets.

• The Budget-Friendly Refresh ($5,000 - $25,000): This is all about making a big impact with smart, cosmetic changes. You're keeping the existing layout and plumbing exactly where it is. Think painting the old cabinets (or just replacing the doors), putting in a new laminate benchtop, and maybe some fresh, affordable tiles for the splashback from a supplier like Beaumont Tiles.
• The Mid-Range Makeover ($25,000 - $50,000): Now we're talking. In this price range, you can afford some more significant upgrades. You might get new semi-custom cabinetry, an engineered stone benchtop (like Caesarstone), and a much better class of appliances from brands like Bosch or Smeg. You could even make some minor tweaks to the layout, as long as it doesn't involve serious structural or plumbing surgery.
• The High-End Custom Kitchen ($50,000+): If you're going all out, the sky's the limit. This level gets you fully custom joinery, beautiful natural stone benchtops like marble or quartzite, and those top-of-the-line European appliances from Gaggenau or Miele. This is also where you can afford to do the big stuff, like knocking down a wall to create that dream open-plan living space.

Understanding Bathroom Renovation Costs

Don't let their small size fool you; bathrooms punch well above their weight when it comes to renovation costs. Why? Because you're packing a huge number of specialised trades into a tiny footprint. Waterproofing, tiling, intricate plumbing, and electrical work all add up, giving bathrooms a very high price tag per square metre.

Across Australia, the average spend on a bathroom reno in 2025 has hit around $26,747, pushed up by our growing love for things like smart toilets and custom vanities.

Most projects fall into these tiers:

• A basic update can run from $5,000 to $20,000.
• A solid mid-range renovation usually lands between $20,000 and $35,000.
• A luxury bathroom with all the bells, whistles, and premium fittings will easily start north of $35,000.

The real cost drivers here are any changes to plumbing, the amount of tiling you do, and the non-negotiable waterproofing. For bathroom renovations specifically, labour costs typically account for 40% to 60% of your total budget, covering plumbers, electricians, tilers, and builders. Plumbers typically charge between $100 and $150 per hour, and you can expect to pay anywhere from $35 to $120 per square metre just for the labour to lay your tiles.

The Key Trades You'll Need on Speed Dial

Bringing your new kitchen or bathroom to life is a team sport. Even if you hire a general builder to run the show, they'll be bringing in a whole crew of specialists to get the job done right.

Here's a quick rundown of who you'll need and a ballpark of what they charge per hour in Australia:

These rates are a good starting point, but remember, the total labour cost will always depend on how complex your specific project is. By getting your head around these room-specific costs and the trades you'll need to hire, you're in a much, much better position to set a realistic budget and plan a reno that brings your vision to life without any nasty financial surprises.

Navigating the hidden Costs of Renovating

Think of a renovation budget like an iceberg. You see the shiny, exciting bits on the surface - the beautiful tiles, the new appliances, the fresh coat of paint. But the real danger, the part that can sink your project, is often lurking just out of sight. These are the hidden expenses that can completely derail your plans if you're not ready for them.

The moment you start pulling down walls or lifting old floorboards, especially in older Aussie homes, you're stepping into the unknown. It's these unwelcome surprises that can turn a meticulously planned budget upside down.

Common Budget Surprises

From our experience, certain unexpected costs pop up far more often than others during Australian renovations. Just knowing what these potential pitfalls are is the first step in protecting your budget from a major blowout. A little foresight now can save you a world of stress (and money) later on.

Here are some of the usual suspects to watch out for:

• Asbestos Removal: A common find in homes built before 1990, asbestos needs specialist removal. This isn't a DIY job and can cost anywhere from $2,000 to over $10,000, depending on how much is discovered.
• Termite or Water Damage: Once the walls are open, you might find that termites have been having a feast on your timber frame, or a slow, hidden leak has caused widespread rot. Fixing this kind of structural damage can easily add thousands to your final bill.
• Outdated Wiring and Plumbing: Old electrical systems often don't meet today's safety standards, forcing a complete (and expensive) rewire. Likewise, old galvanised pipes might be on their last legs and need replacing, adding a hefty plumbing cost you didn't see coming.
• Council Permit Delays: If your reno needs council approval, unexpected delays or requests for more information can stall everything. This can lead to holding costs and even fees from your builder for the downtime.
• Alternative Accommodation: For a big job like a full kitchen gut-out, your home might become unlivable for a while. The cost of renting another place for a few weeks or months is a huge expense many people simply forget to budget for.

It's no wonder that budgeting is such a headache for homeowners. In fact, over 60% of Australian renovators blow their budgets by 20–30%, often because they underestimated these kinds of structural repairs and permit issues. You can dive deeper into these figures by checking out the full home renovation statistics for Australia.

The Essential Role of a Contingency Fund

This is exactly why a contingency fund is your renovation's best friend. It's not just a 'nice-to-have', it's an absolutely non-negotiable part of any responsible budget. Think of it as your project's insurance policy against the unknown.

This fund is a separate pool of cash set aside specifically for unforeseen problems. It's not for upgrading your tapware halfway through or deciding you want that fancier stone benchtop. It's purely for tackling the problems you couldn't have possibly predicted.

So, on a $100,000 renovation, this means having an extra $15,000 to $20,000 ready and waiting. It might feel like a lot to add on top, but that financial buffer is what ensures a surprise discovery doesn't force you to cut corners or, worse, stop the project in its tracks. It's the key difference between a stressful, budget-blowing nightmare and a smooth, successful renovation.

How to Get Accurate Renovation Quotes

Alright, let's talk about the moment of truth: moving from a rough ballpark figure to a firm, written quote. This is where you gain real control over your renovation costs. Getting a quote isn't just about shopping for the cheapest price; it's about finding a builder who truly gets your vision and has the skills to bring it to life without blowing your budget.

The secret? You need to make sure every single builder is quoting on the exact same job.

To do that, you have to become the director of your own project. Before you even think about picking up the phone, you need a detailed project brief. This document is your renovation bible. It's what ensures you can compare quotes apples-for-apples, instead of trying to make sense of a bunch of vague, confusing proposals.

Create a Detailed Project Brief

Think of your project brief as the script for your reno. The more detail you pack in now, the more accurate the quotes will be - and the fewer nasty surprises you'll have to deal with later. A vague brief always leads to vague quotes, which is a recipe for budget blowouts.

Your brief needs to be airtight. It should include:

• Architectural Plans: If you have them, these are gold. Make sure they include all the detailed drawings and measurements.
• Scope of Works: This is your to-do list on steroids. List every single task, from "Demolish non-load-bearing wall between kitchen and living room" to "Install three Tom Dixon pendant lights over the new island bench." Be specific.
• Finishes Schedule: Get granular here. Don't just say "white subway tiles." Instead, specify "Johnson Tiles 100x300mm gloss white ceramic tiles, to be laid in a herringbone pattern with Mapei 'Silver Grey' grout." Include model numbers for every tap, appliance, and even the paint colours.

This level of detail forces every builder to price the exact same items and removes all the guesswork. Without it, one builder might quote for a cheap laminate benchtop while another prices for high-end marble, making their final numbers impossible to compare fairly.

How to Evaluate Quotes and Spot Red Flags

Once the quotes start rolling in, it's time to put on your detective hat. Don't just skip to the final number at the bottom. A surprisingly cheap quote is often a massive red flag, signalling that things have been missed or the builder has used low-quality allowances to get the price down.

Here's what to look for in every quote:

1. A Clear Breakdown: A professional quote will always itemise the costs for labour, materials, and subcontractors. If you just get a single lump-sum figure, push back and ask for a detailed breakdown.
2. Specific Inclusions and Exclusions: The document must clearly state what's covered and, just as importantly, what's not. Does the price include rubbish removal, site cleaning, and council fees?
3. Provisional Sums: These are essentially placeholders or allowances for items you haven't finalised yet, like your tiles or tapware. Check if these sums are realistic for the quality you want. A low allowance makes a quote look cheaper upfront but stings you later when you have to pay the difference.
4. Payment Schedule: A good builder ties payments to project milestones (e.g., "completion of framing"), not random dates. Be very wary of anyone asking for a huge upfront deposit - in Australia, this is often legally capped at 5-10%.

Vetting Your Builder

Finally, before you sign on the dotted line, do your homework. Choosing the right builder is the single best way to save money and stress in the long run.

• Check Their Licence: Jump online and verify that their builder's licence is current and valid with your state's building authority.
• Confirm Insurance: Don't just take their word for it. Ask for a copy of their Public Liability Insurance certificate and check the expiry date.
• Speak to References: A good builder will happily give you the numbers of their last two or three clients. Call them. Ask about communication, workmanship, and whether the project stayed on budget and on time.
• Review Their Work: If you can, ask to visit a recently completed project. Seeing the quality of their finishes in person tells you everything you need to know.

Taking these steps turns the quoting process from a stressful gamble into a structured, informed decision. It's how you lock in a fair price and find a pro you can actually trust to build your dream space.

Common Questions About Renovation Costs

When you're staring down the barrel of a renovation, a million questions can start swirling around. It's completely normal. To help you feel more confident as you plan, we've put together some clear, straightforward answers to the questions we hear most from Australian homeowners.

Think of this as your quick-reference guide. It's designed to tackle those specific worries and give you the practical insights you need to make smarter financial decisions from day one.

How Much Should I Budget for a Contingency Fund?

A contingency fund is your project's financial safety net, and honestly, it's non-negotiable. This is the money you stash away purely for the unexpected problems that can, and often do, pop up once the work gets started.

For most Aussie renos, a good rule of thumb is to set aside 15% to 20% of your total estimated project cost. The age of your home is a massive factor here. If you're tackling an older character home where hidden issues like asbestos, dodgy wiring, or termite damage are a real possibility, you should absolutely aim for that 20% mark. It might feel like a lot, but the peace of mind is priceless.

On the other hand, for newer properties or purely cosmetic updates, like a quick paint job or replacing benchtops without moving any plumbing, you might get away with a 10% to 15% fund.

Is It Cheaper to Renovate or Rebuild in Australia?

This is the big one for anyone with a home that needs a lot of work. The short answer? It completely depends on the state of your house and the scale of your vision.

Renovating is almost always the more cost-effective path if your home is structurally sound. If the "bones" of the house, the foundation, frame, and roof, are in good nick, then working with what you have will save you a huge amount of money. A renovation lets you keep the character you love while bringing the home into the 21st century.

However, the scales can tip if the changes you want are massive. If your reno involves serious structural work (like knocking out multiple load-bearing walls), fixing major foundation issues, and a complete gut-and-replace of all the plumbing and electrical, the costs can start to creep up. Sometimes, they can even surpass the price of a knockdown-rebuild.

A knockdown-rebuild gives you a completely clean slate. You get a brand-new home built to modern energy and safety standards, with zero hidden nasties. The best approach is to get a professional building inspection first, then get detailed quotes for both scenarios. That's the only way to make a truly informed decision based on hard numbers.

What Are the Most Common Causes of Budget Blowouts?

Even the most meticulously planned budgets can go off the rails. Knowing the common culprits is the first step to avoiding them.

In our experience, budget blowouts in Australian renovations almost always boil down to a handful of key issues. Keep these on your radar, and you'll have a much better chance of staying on track.

1. Changing Your Mind Mid-Project: This is the absolute number one budget killer. Deciding you want a different layout or more expensive tiles after the walls are already up creates a domino effect of extra costs for labour, new materials, and project delays.
2. Discovering Hidden Issues: You never know what's behind the walls until they come down. Asbestos, termite damage, rotted timber frames, and ancient wiring are common discoveries in older homes that demand immediate, and often expensive, fixes.
3. Underestimating Finishes and Fixtures: The price gap between standard and luxury finishes is enormous. It's so easy to underestimate how quickly the cost of taps, tiles, lighting, and handles can add up, pushing the final bill way over the initial quote.
4. Accepting Vague Quotes: A quote that lacks detail is a recipe for disaster. If it doesn't clearly spell out all inclusions, exclusions, and allowances (known as provisional sums), you're leaving yourself wide open to countless "variations" and extra charges down the line.
5. Forgetting Professional and Council Fees: It's easy to get focused on the hands-on building costs, but don't forget the paperwork. Fees for architects, designers, engineers, and council permits can easily add 10-20% to the total project cost.

How Can I Save Money on My Renovation Without Sacrificing Quality?

Saving a bit of cash doesn't have to mean settling for a cheap-looking result. There are plenty of smart ways to trim your renovation costs while still achieving a high-quality finish.

First off, consider doing some of the non-structural work yourself. If you're handy with a paintbrush or don't mind a bit of demolition, handling your own painting or stripping out old cabinetry can save you thousands in labour.

Second, be strategic with your timing. If your project isn't urgent, think about scheduling it for the off-season (usually the winter months). Tradies can be less busy then and might be more flexible on their pricing.

Third, become a savvy shopper. Keep an eye out for end-of-financial-year sales on materials, appliances, and fixtures. You can often find top-quality items at a serious discount if you're patient and willing to hunt around.

Finally, the single most effective way to save money is to work with your home's existing footprint. Moving plumbing, electrical wiring, and gas lines is one of the most expensive parts of any reno. Keeping your kitchen and bathroom layouts where they are will dramatically cut your overall spend.