How Much Does It Cost To Renovate A House In Australia?

Renovating a house in Australia is an increasingly popular choice for homeowners. It’s a fantastic way to add significant value, adapt your space to changing lifestyle needs, or simply refresh your home so you can fall in love with it all over again. As leading home renovation contractors in Sydney, we see this every day. With the rising cost of moving, many clients are wisely choosing to invest in their current property rather than relocate.

But before you get lost in home renovation ideas, understanding the financial commitment is the crucial first step to effective planning. This guide, built on our team’s hands-on experience, breaks down the costs for home renovations in 2025. We’ll cover everything from simple cosmetic updates to complete Home Remodelling projects, giving you the knowledge to make informed decisions.

The cost of home renovation services varies dramatically. It all depends on the scope of work, the quality of materials you choose, your location, and which rooms you’re updating. As a general guide, you can expect to spend anywhere from $20,000 for a basic cosmetic refresh to over $300,000 for a comprehensive, whole-house transformation.

For a good quality build, the average cost is typically between $3,000 and $5,000 per square metre. This can range from $1,000/sqm for budget finishes to over $7,000/sqm for the kind of high-end, luxury North Shore Home Renovations we specialise in. These figures reflect the current 2025 construction landscape, where material costs, labour rates, and council requirements all play a significant role in the final project cost.

The “Big Picture”: Renovation Costs by Project Scope

First, it’s essential to define what “renovation” means to you. A cosmetic update is vastly different from a structural addition. We generally categorise home renovation services into three main brackets.

1. Basic / Cosmetic Renovations (The Refresh)

Estimated Cost: $20,000 – $50,000

What this includes: This level is focused on aesthetics rather than structural changes. Think of it as a significant refresh. It typically covers tasks such as a fresh coat of paint throughout the interior, new flooring (like vinyl or laminate), updating light fixtures, replacing tapware, and perhaps new cabinet handles or a tiled splashback in the kitchen.

2. Mid-Range Renovations (The “Sweet Spot”)

Estimated Cost: $50,000 – $150,000

What this includes: This is the most common category of renovation we see. It involves more significant upgrades to one or more key rooms. This budget allows for a complete kitchen or bathroom renovation with quality materials (e.g., stone benchtops, custom cabinetry), plumbing and electrical updates, and layout modifications that don’t involve major structural work.

3. High-End & Luxury Renovations (The Full Transformation)

Estimated Cost: $150,000 – $300,000+

What this includes: A comprehensive, whole-house transformation. This budget accommodates structural changes, such as removing walls for open-plan living, and premium and custom finishes (e.g., marble, high-end appliances, smart home tech), and often involves architects or interior designers. Many of our large-scale North Shore Home Renovations fall into this category.

A Room-by-Room Renovation Cost Breakdown

The cost is heavily influenced by the rooms you choose to renovate. “Wet areas” like kitchens and bathrooms are the most complex and expensive due to the combination of waterproofing, plumbing, electrical, and cabinetry required.

The Heart of the Home: Kitchen Renovations

The kitchen is the single most significant value-add to any home. Costs can range from $10,000 for a budget refresh to over $100,000 for a high-end gourmet space.

Budget Kitchen ($10,000 – $22,000): Focuses on cosmetic updates. You might reface or paint the existing cabinets, replace the benchtop with laminate, install a new splashback, and budget for appliances.

Mid-Range Kitchen ($22,000 – $45,000): This is the average for a full kitchen renovation. It includes new cabinets (often flat-pack or semi-custom), stone benchtops, quality appliances, and new tiling. This is a popular bracket for Castle Hill Home Renovations, where functional family kitchens are a key focus.

High-End Kitchen ($45,000 – $100,000+): Features custom-designed cabinetry, premium stone or porcelain benchtops, professional-grade appliances, integrated smart technology, and potential layout changes, like adding a butler’s pantry.

Creating Your Sanctuary: Bathroom Renovation Costs

A modern bathroom is a must-have for comfort and resale value. As specialists in Modern bathroom Makeovers North Shore, we see huge demand for this.

Budget Bathroom ($8,000 – $15,000): Suitable for a small bathroom or powder room. This covers basic fixture replacement (new vanity, toilet, mirror), fresh tiles in key areas, and new paint.

Standard Bathroom ($15,000 – $35,000): This is the typical range for a full renovation of a standard-sized bathroom. It includes complete retiling, a new shower or bath, a quality vanity, new fixtures, and updates to the plumbing and electrical systems. This is the most common budget for North Shore bathroom renovations.

Luxury Bathroom ($35,000 – $50,000+): Transforms the space into a spa-like retreat. This can include features like freestanding baths, double vanities, frameless shower screens, underfloor heating, premium natural stone tiles, and specialised lighting.

Living Areas & Bedrooms

These rooms are generally less expensive as they don’t require plumbing.

Living/Dining Room ($10,000 – $15,000): This can cover creating feature walls, upgrading lighting, installing new flooring, and fresh paint. Costs rise when you remove a load-bearing wall to create an open-plan space.

Bedroom ($2,000 – $5,000): Typically includes new paint, carpet, and upgraded lighting. The main cost driver here is storage; a new built-in wardrobe can start from $2,000 and go up significantly for custom walk-in solutions.

Expanding Your Lifestyle: Outdoor Living Renovations

In Australia, the outside is just as important as the inside. Outdoor Living Renovations are incredibly popular, especially in home renovations on the Northern Beaches, where the lifestyle is all about indoor-outdoor flow.

Patio/Deck ($10,000 – $50,000): The cost depends on size and materials. A simple concrete patio is more affordable ($100 – $150 per sqm), while timber or composite decking is a premium choice ($200 – $320+ per sqm).

How Professionals Price a Renovation: Per Square Metre

Experienced home renovation contractors often use a per-square-metre ($/sqm) rate to estimate a project, especially for extensions or large-scale remodels. This rate includes materials, labour, and standard finishes.

A ground-floor extension typically costs $2,500 – $4,000 per sqm, while a second-story addition is more complex and costs 50-70% more.

Specialist Home Renovations & Their Unique Costs

Beyond the standard rooms, some projects require specialist expertise, which impacts the budget.

Preserving Character: Heritage Home Renovations

Sydney is full of beautiful older homes. Heritage Home Renovations require a delicate touch and deep knowledge of council regulations.

What to expect: Costs are often higher due to the need for specialist trades (e.g., heritage carpenters, stonemasons), matching original materials (like tessellated tiles or custom timber moulding), and navigating strict council approvals. This is not a job for a standard builder.

Building for Tomorrow: Sustainable Home Renovations

Sustainable Home Renovations are about building smarter, not just cheaper.

What to expect: The upfront cost may be slightly higher for materials such as double-glazed windows, high-performance insulation, reclaimed timber, or solar integration. However, these investments pay for themselves in the long run through significantly lower energy bills.

The “Hidden” Costs: What’s Not in the Initial Quote?

This is where E-E-A-T (Experience, Expertise, Authoritativeness, and Trustworthiness) becomes critical. A trustworthy contractor will be transparent about the costs you can’t see at the start. Always set aside a contingency fund of 10-20% of your total budget to cover these common surprises.

• Council Permits & Fees ($1,000 – $5,000+): Any structural change, extension, or significant layout modification will require council approval.
• Design & Architect Fees (5-15% of build cost): For complex projects, you’ll need professional plans drawn up.
• Demolition & Waste Removal ($1,000 – $5,000+): This includes skip bins and labour to remove the old materials.
• Asbestos Removal ($500 – $5,000+): If your home was built before 1990, it’s highly likely to contain asbestos. This must be handled by licensed professionals.
• Structural Surprises ($5,000 – $20,000+): Once we open the walls, we might find termite damage, rotted frames, or foundation issues that require attention.
• System Upgrades ($3,000 – $15,000): Old wiring or plumbing that doesn’t meet current Australian standards must be replaced.

Maximising Your Return on Investment (ROI)

A renovation isn’t just an expense; it’s an investment. But not all renovations are created equal. Based on our experience, these are the projects that consistently add the most value to your property.

• Kitchens (ROI: 60-80%): A modern, functional kitchen is the number one driver of home value.
• Bathrooms (ROI: 60-70%): A dated bathroom can be a major turn-off for buyers. A clean, modern bathroom makeover offers a strong return on investment.
• Outdoor Living (ROI: 60-100%): In Australia, a great deck or alfresco area is seen as a valuable extension of the home’s living space.
• Adding Bedrooms (ROI: 75%+): Moving a home from a 3-bedroom to a 4-bedroom bracket can yield a significant increase in value.

Why You Need Professional Home Renovation Contractors

To save money, it can be tempting to DIY. While tasks like painting or landscaping are great for a weekend warrior, complex tasks are best left to professionals.

We’ve been called in to fix many DIY jobs gone wrong, and it almost always costs more to fix a mistake than to do it right the first time. Poorly installed waterproofing in a bathroom can lead to thousands in structural damage. Illegal electrical or plumbing work is a safety hazard and will cause major issues when you try to sell your home.

As experienced home renovation contractors for North Shore Home Renovations and beyond, we manage the entire process for you. We coordinate all the licensed trades (plumbers, electricians, carpenters, tilers), manage council approvals and inspections, and ensure the entire project is completed to Australian Standards, on time and on budget.

Ready to Start Your Home Remodeling Journey?

We know this is a lot of information. The cost of home renovations is a significant investment, and the best way to get an accurate price is to have a professional assess your specific property and home renovation ideas.

If you’ve been searching for “house renovation near me” in Sydney, we’re here to help. The next step is a personal conversation.

Book a quick consultation with the Australian Renovation Professionals team. We’ll discuss your project, provide expert advice, and develop a detailed, transparent quote tailored to your exact needs, whether it’s for a project in Castle Hill, a makeover on the Northern Beaches, or a full transformation on the North Shore.