How Much Does It Cost to Renovate Your Home in 2026?

One of the most common questions homeowners ask is: how much does it cost to renovate a house?

The answer depends on the size and complexity of the project.

The following information is drawn from the sources quoted on the bottom of the article and is not a representation made by Credit24. The actual cost may vary.

Home renovation costs in Australia can range from a few thousand dollars for cosmetic updates to hundreds of thousands of dollars for major structural work.

Whether you're planning a bathroom renovation, kitchen upgrade or full house renovation, the total cost depends on the scope of work, materials, labour, location and whether approvals are required.

If you're wondering how much does it cost to renovate a house, there isn't a single answer. A simple refresh may cost less than a new car, while a whole house renovation cost can easily reach six figures.

Renovations don't always happen because you want a new kitchen or bathroom. Sometimes they're driven by urgent repairs, water damage, broken appliances, safety issues or wear and tear that can't be ignored.

While many homeowners use savings, redraw facilities or refinancing, others may consider a personal loan or line of credit for smaller renovation projects where repayments fit comfortably within their budget. Credit24 offers personal loans and a line of credit from $500 to $10,000 for eligible Australians, which may help cover smaller renovation expenses, essential repairs or unexpected project costs.

This guide covers average renovation costs, room-by-room renovation pricing, renovation costs per square metre, hidden expenses, budgeting tips and finance options for Australian homeowners.

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How Much Does It Cost to Renovate a House in Australia?

One of the most common questions homeowners ask is: how much does it cost to renovate a house?

The answer depends on the size and complexity of the project.

As a general guide:

• Basic cosmetic house renovation: approximately $20,000–$50,000
• Mid-range renovation: approximately $50,000–$150,000
• Full house renovation cost: approximately $150,000–$300,000+
• Major structural renovation or extension: $300,000–$500,000+
  
  
  

Some complete home renovations can exceed $500,000 when the project includes extensions, extensive structural work, premium finishes or difficult site conditions.

The cost to renovate a house is influenced by:

• Property size
• Scope of work
• Material selections
• Labour costs
• Trade availability
• Property location
• Council approvals
  
  

Australian Bureau of Statistics data shows that alterations and additions remain a significant part of residential building activity, highlighting ongoing demand for home improvements across Australia.

How Much to Renovate a Bathroom?

Bathroom renovation costs in Australia typically sit between $15,000 and $30,000+, although a simple refresh may cost less and a luxury renovation can cost substantially more.

Budget Bathroom Refresh

A basic bathroom update may cost between $5,000 and $15,000.

This often includes:

• New tapware
• Vanity replacement
• Painting
• Mirror upgrades
• Lighting improvements
• Cosmetic updates

Keeping the existing plumbing layout can help keep costs down.

Standard Bathroom Renovation

Many Australian bathroom renovations fall within the $15,000–$30,000 range.

This may include:

• New tiles
• Waterproofing
• Shower screen
• Vanity
• Toilet
• Fixtures and fittings
  

High-End Bathroom Renovation

Premium bathroom renovations can exceed $30,000–$50,000+.

Features may include:

• Layout changes
• Custom cabinetry
• Designer fittings
• Underfloor heating
• Freestanding baths
• Premium tile selections
  

The biggest cost drivers are usually waterproofing, plumbing changes, tiling, demolition and access requirements.

Home Renovation Costs by Project Type

Looking at home renovation costs by project type can be more useful than searching for a single average renovation cost.

Cosmetic Renovation

A cosmetic house renovation focuses on appearance rather than structural changes.

Common upgrades include:

• Painting
• Flooring
• Lighting
• Tapware
• Fixtures
• Minor repairs

Typical cost: $20,000–$50,000.

Single-Room Renovation

Projects such as a kitchen, bathroom, laundry or living room renovation often range from $10,000 to $60,000+ depending on finishes and complexity.

Partial House Renovation

A partial renovation covering several rooms, flooring and painting may cost between $50,000 and $150,000.

Full House Renovation

A full renovation can include kitchens, bathrooms, windows, insulation, flooring, electrical upgrades and plumbing work. Typical whole house renovation cost: $150,000–$300,000+.

Structural Renovation or Extension

Structural work usually carries the highest renovation cost because it may involve engineering, demolition, approvals and significant construction work. Costs can exceed $500,000 on larger projects.

Renovation Costs Per Square Metre in Australia

Renovation costs per square metre are often used for early planning.

As a rough guide:

• Basic renovation: $1,000–$3,000 per m²
• Standard quality renovation: $3,000–$5,000 per m²
• High-end renovation: $5,000–$7,000+ per m²

It's important not to rely solely on renovation cost per m2 Australia figures.

Bathrooms and kitchens usually cost significantly more per square metre than bedrooms or living rooms because of plumbing, waterproofing, cabinetry and specialist trades.

A small bathroom may have a very high renovation cost per square metre even though the overall project cost is much lower than a full house renovation.

Kitchen Renovation Costs in Australia

Kitchens are often one of the most expensive rooms to renovate because they combine cabinetry, appliances, plumbing, electrical work and finishes.

A budget kitchen refresh may cost approximately $10,000–$25,000.

A mid-range kitchen renovation often falls between $25,000 and $60,000.

High-end kitchen renovations can exceed $60,000–$100,000+.

Factors that influence renovation costs include:

• Cabinetry
• Benchtop materials
• Appliances
• Plumbing relocation
• Electrical upgrades
• Splashbacks
• Flooring
• Demolition

A kitchen renovation can improve both liveability and resale appeal, but it's important to avoid spending more than your property's likely value can support.

Cost to Renovate Other Rooms and Outdoor Areas

Renovation costs vary considerably across different parts of the home.

A bedroom renovation may range from a few thousand dollars for painting and flooring through to larger wardrobe and insulation upgrades.

Living room renovations can include flooring, storage, lighting, windows and climate control upgrades, with costs increasing depending on the scope.

Laundry renovations are generally less expensive than bathrooms but still involve plumbing, cabinetry and potentially waterproofing.

Outdoor renovation projects such as decking, landscaping, fencing, patios and exterior painting can add thousands or even tens of thousands of dollars to a renovation budget.

If you're asking how much to replace flooring, cabinets, windows, roofing or appliances, the answer will depend on product quality, labour costs and the complexity of installation.

Renovation Costs by Location: Sydney, Melbourne, Perth and Beyond

Location can have a noticeable impact on house renovation costs.

House renovation cost Sydney projects are often higher due to labour rates, access restrictions, council requirements and higher property values.

Renovation costs Melbourne homeowners face can vary significantly, especially in older properties that may require rewiring, insulation upgrades, damp treatment or heritage considerations.

Home renovations Perth costs may differ due to local labour availability, transport costs and material supply factors.

In regional Australia, labour may sometimes be cheaper, but freight costs and limited contractor availability can increase overall renovation costs.

The best approach is to compare multiple quotes from local licensed trades and builders.

What Can a $100k Renovation Budget Cover?

A $100,000 renovation budget can deliver substantial improvements but may not be enough for a complete structural transformation.

Depending on your property and location, $100,000 may cover:

• A kitchen and bathroom renovation
• Flooring throughout the home
• Internal painting
• Lighting upgrades
• Several room refreshes

What it may not cover:

• Large extensions
• Whole-house structural redesigns
• Premium finishes throughout the property
• Significant remediation work

The most effective renovation budgets prioritise essential repairs and functionality before cosmetic upgrades.

What Affects Your House Renovation Cost?

Several factors influence renovation costs.

Scope of Work

Cosmetic updates are generally much cheaper than structural renovations.

Home Condition

Older homes may require:

• Rewiring
• Plumbing upgrades
• Asbestos removal
• Roof repairs
• Termite treatment

Material Choices

Budget, standard and premium finishes can dramatically affect your renovation budget.

Labour Availability

Trade shortages can increase both costs and project timelines.

Approvals and Professional Fees

Architects, engineers, certifiers and council approvals can add significant costs.

Site Conditions

Difficult access, sloping blocks, apartments and limited parking can all increase project expenses.

Other Renovation Costs to Include in Your Budget

Many homeowners focus on the builder's quote and overlook other expenses.

Additional renovation costs may include:

• Design fees
• Engineering reports
• Council approvals
• Demolition
• Waste removal
• Skip bins
• Temporary accommodation
• Storage costs
• Appliance installation
• Compliance upgrades
• Unexpected repairs

A contingency fund of at least 10–20% is often recommended for renovation projects.

Older homes and structural renovations may require an even larger buffer.

How to Build a Realistic Renovation Budget

A realistic renovation budget starts with understanding your goals.

Ask yourself whether the renovation is primarily for:

• Repairs
• Comfort
• Lifestyle improvements
• Rental yield
• Resale value

Before requesting quotes:

• Separate must-haves from nice-to-haves
• Research room-specific renovation costs
• Compare at least two or three quotes
• Confirm what is included and excluded
• Allow for contingency costs

Budgeting tools such as MoneySmart's Budget Planner can help you assess affordability and cash flow before committing.

How Much Should You Spend on Renovation?

The right renovation budget depends on your property value, financial situation and goals. For liveability, spending more may make sense if it improves safety, comfort or functionality for years to come. For resale, it's important to avoid overcapitalising by spending more than the likely increase in property value. For investment properties, practical and durable upgrades often provide better value than highly personalised finishes. Before committing to a renovation, compare the likely benefits with the total project cost.

How to Save Money on Renovation Costs Without Cutting Corners

You may be able to reduce renovation costs by:

• Keeping plumbing in the same location
• Retaining existing electrical layouts
• Refinishing cabinetry rather than replacing it
• Reusing quality fixtures where possible
• Choosing standard-size products
• Renovating in stages
• Comparing multiple quotes

DIY painting and simple cosmetic work may reduce costs, but licensed trades should always complete plumbing, electrical, gas and waterproofing work.

How to Finance a Home Renovation in Australia

The best finance option depends on the size of your renovation, your available savings and your repayment capacity.

Savings

Using savings avoids interest costs but may reduce your emergency buffer.

Home Loan Refinance

May suit larger renovations but can increase long-term interest costs.

Construction Loan

Often used for major structural renovations and extensions.

Personal Loan

A personal loan can suit smaller renovations, urgent repairs or projects with a defined budget.

Some homeowners use personal loans for:

• Bathroom refreshes
• Flooring replacement
• Appliance upgrades
• Painting projects
• Essential repairs

Credit24 offers personal loans from $500 to $10,000 for eligible Australians through a fully online application process.

Line of Credit

A line of credit can provide flexibility when renovation costs arise in stages.

Credit24's line of credit may suit smaller renovation projects where expenses occur over time and you only want to pay interest on the amount you actually use.

As with any borrowing, it's important to compare options carefully and ensure repayments are affordable.

Credit24 Home Renovation Loans: A Flexible Option for Smaller Projects

Not every renovation requires a large construction loan or home loan refinance.

Many homeowners simply need funds for:

• Bathroom refreshes
• Flooring replacement
• Interior painting
• Appliance upgrades
• Minor repairs
• Unexpected renovation expenses

Credit24 personal loans and a line of credit are from $500 to $10,000.

Features include:

• 100% online application process
• Fast assessments
• Flexible repayment options
• No early repayment penalties
• Line of credit option where you only pay interest on funds you use

Because Credit24 loans are unsecured, there is no need to use your home as security.

Before borrowing, compare all available options, including savings, redraw facilities and refinancing. Any loan should fit comfortably within your budget and only be used when repayments are affordable.

All applications are subject to responsible lending and affordability assessments.

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Getting Renovation Quotes: What to Ask Before You Commit

Before accepting a quote, ask:

• Is the quote fixed price or an estimate?
• Is GST included?
• Are materials included?
• Are permits included?
• Is demolition included?
• Is waste removal included?
• Who manages subcontractors?
• How are variations approved?

When comparing quotes, make sure each builder or contractor is pricing the same scope of work.

Sources

• Australian Bureau of Statistics – Building Activity Australia
• YourHome – Renovations and Additions
• MoneySmart – Budget Planner
• Canstar – Home Renovation Cost Guides
• hipages – Renovation Cost Guides
• Co-architecture – Home Renovation Cost Reports

The article is for information purposes only and does not constitute financial advise.