Home renovation trends in Australia are evolving rapidly, driven by changing lifestyles and technological advancements. Many Australians are looking to upgrade their living spaces for improved functionality, energy efficiency, and aesthetic appeal. According to recent data, the monthly value of approved renovations remains above $1 billion, despite rising costs and trade shortages. Budgeting for these renovations is crucial. In this article, we will share with you the insight of home renovation builders in Sydney and help you complete the project more cost-effectively.
Factors Affecting Renovation Costs in 2025
Every construction project is different, but 3 main factors can greatly affect your overall spending, they are:
- Material costs and availability: Fluctuating prices and potential shortages may impact project timelines and budgets.
- Labour costs: if your project requires workers of a specific niche, such as conservation, this could drive up prices.
- Economic factors: Inflation rates and interest rates will affect the amount of money you can borrow for your project, so check with your bank before starting.
Room-by-Room Cost Breakdown
Kitchen Renovations
Kitchen renovations remain a popular choice for homeowners looking to add value to their properties. Based on the scope of work, the final cost may range from:
– Basic upgrades: AUD 15,000 – AUD 30,000
– Mid-range renovation: AUD 25,000 – AUD 40,000
– High-end: AUD 35,000+
Factors influencing costs include appliance quality, benchtop materials, and cabinetry choices. To budget effectively, prioritise essential upgrades and consider energy-efficient appliances for long-term savings. Additionally, you may consider adding open shelving, as they can add both style and functionality to your kitchen.
Bathroom Renovations
Bathroom renovation can involve complex pipework, wiring and tiling. When planning your renovation, it’s best to consider your need for skilled workers and choice of materials.
– Basic: AUD 15,000 – AUD 25,000
– Mid-range: AUD 25,000 – AUD 35,000
– Luxury: AUD 35,000+
Popular bathroom trends include double sinks and separate bath tubs. Soaking tubs are also becoming increasingly popular, offering a luxurious yet practical addition to modern bathrooms. If you would like to keep the spending modest, consider retaining the existing layout and updating fixtures and finishes.
Living Areas and Bedrooms
Costs for living area and bedroom renovations vary widely based on the scope of work. Flooring and painting can range from AUD 5,000 to AUD 20,000, while structural changes may cost significantly more.
One noteworthy tip is, while many home renovation builders might recommend ‘open plan’ living space, we predict the ‘broken-plan’ living will begin to gain traction in 2025. The ‘broken plan’ offers a balance between open-plan layouts and more private spaces, usually achieved through the use of screens, or open shelving. This approach is particularly relevant as more Australians work from home and demand work-life separation.
Outdoor Areas and Extensions
Outdoor renovation can greatly improve your living quality and add significant market value to your property. Afterall, no one can say no to a stunning yard. Take into consideration of these costs:
- Decks and patios: AUD 10,000 – AUD 30,000
- Landscaping: AUD 5,000 – AUD 50,000+
- Home extensions: AUD 1,500 – AUD 2,500 per square metre
In recent years, home renovation builders in Sydney have also spotted the increasing trend of creating seamless indoor-outdoor living spaces. Depending on the size of your yard, you may choose to add patios, natural stone pavers, or even small fountains to add a premier feeling.
Budgeting and Planning for Your Renovation
Financing Options for Home Renovations in 2025
Creating a realistic budget is essential. Work with your bank or any financial advisor to determine a budget that’s affordable to you. Remember to include a contingency fund of 10-20% for unexpected costs. Here are some starting points to consider when thinking about borrowing:
- Choose home equity loans and lines of credit
- Purchase renovation-specific loan products
- Use personal loans: this is increasingly popular for funding small home improvements, with lenders like Liberty Financial offering loans up to AUD 80,000 with same-day funding upon approval. However, do regularly check the interest rate.
Choose The Right Team to Save Money
Selecting experienced home renovation builders Sydney helps you avoid delays and budget overruns. Look for companies with a strong portfolio, positive client reviews, and proper licensing. Ask potential builders about their experience with similar projects, their approach to budget management, and their timeline for completion.
Trends in Home Renovation for 2025
If you are optimising for long-term equity gain, here are some renovation trends that you might want to consider incorporating.
- Energy-efficient upgrades: Prioritise improvements that reduce energy consumption, such as high-efficiency windows and Energy Star-rated appliances. You don’t need to spend loads of money on these things to greatly increase your property’s value.
- Biophilic designs: Incorporating nature into interiors is a growing trend. Expect to see earthy hues, natural materials, and muted colours like terracotta, clay, and wood.
- Smart home technology integration: Automated systems for lighting, heating, and security continue to gain popularity.
- Built-in storage solutions: As homes become smaller, clever storage designs are increasingly important. Bespoke solutions that blend seamlessly with the home’s architecture are in high demand.
- Statement pieces and bold patterns: Chequerboard and striped patterns are making a comeback, adding visual interest to interiors.
Conclusion
With the surge in renovation spending reaching 40% of residential construction in 2023-2024, it’s clear that Australians are investing heavily in improving their homes. Planning a home renovation in 2025 requires careful consideration of costs, trends, and personal needs.
At Construction Concierge, we understand the complexities of home renovations and are here to guide you through every step of the process. We offer a free consultation service to connect homeowners with our network of trusted home renovation builders, who can bring your vision to life while respecting your budget. Whether you’re looking to create a modernised patio, implement energy-efficient upgrades, or completely transform your living spaces, we can help you find the right professionals.
Contact Construction Concierge today and start your journey towards your dream home in 2025!
