Renovating your home in Sydney can be an exciting and financially significant decision you'll make. Whether you're updating an old bathroom, expanding your living space, or giving your entire home a fresh new look; Understanding the costs involved is crucial for planning a successful project. In 2025, home renovation prices in Sydney continue to rise steadily, driven by demand, material costs, and a skilled labour market that’s as competitive as ever.
This guide will walk you through the latest price trends, where your money goes, and how factors like design complexity and architect costs in Sydney can influence your budget.
What’s Driving Renovation Costs in 2025?
Several key factors contribute to the current landscape of renovation pricing in Sydney:
Material Costs: Prices for construction materials such as timber, steel, and concrete have remained high due to global supply chain disruptions and inflation.
Labour Shortages: The building and construction industry is experiencing a skills shortage, in specialised trades, which means higher labour costs.
Regulatory Requirements: Planning permissions, building approvals, and sustainability regulations can add time and cost to a renovation project.
Average Renovation Costs in Sydney
Here's a breakdown of average price ranges in 2025:
Basic Bathroom Renovation: $25,000 – $40,000
Kitchen Renovation: $30,000 – $60,000
Full Apartment Renovation: $100,000 – $200,000
Ground Floor Extension: $2,500 – $4,000 per sqm
Second Storey Addition: $3,000 – $4,500 per sqm
Luxury Full-Home Renovation: $500,000 and up
The final cost can be influenced by design preferences, access issues, heritage overlays, or custom finishes.
Architect Costs in Sydney: What to Expect
When budgeting for a home renovation, many homeowners forget to account for the most important elements of the process — the design. They bring value through smart spatial planning, material efficiency, and a tailored aesthetic vision that reflects your lifestyle.
In 2025, architect costs in Sydney fall within the following structures:
Percentage of Total Build Cost: Most architects charge between 8% and 15% of the total project cost. For high-end or complex renovations, the percentage may be higher.
Fixed Fee: Some architects offer fixed pricing for specific stages of design and documentation.
Hourly Rate: For smaller projects or consultations, hourly rates range from $150 to $300 per hour.
Working with an architect may increase your upfront costs, but it can improve the final outcome, help you avoid costly mistakes during construction and add long-term value to your home.
Budget-Saving Tips Without Cutting Corners
Renovating in Sydney doesn’t have to break the bank. Here are a few smart ways to keep costs manageable:
Prioritise Your Needs: Focus on the spaces that will have the biggest impact on your lifestyle and property value.
Plan Thoroughly: Rushed decisions lead to budget blowouts; detailed planning and documentation save time and money.
Reuse Where Possible: Retain existing structures, cabinetry, or materials in good condition.
Stage the Renovation: If your budget doesn’t stretch far enough for a full overhaul, consider doing the work in stages.
Choosing the Right Team
Look for builders and architects who are transparent with pricing, have proven experience with similar projects, and come highly recommended.
An architect can also help you navigate council approvals, coordinate with consultants, and oversee construction, bringing peace of mind to a complex process.
Renovating your home in Sydney in 2025 is an investment in lifestyle and property value. With rising construction prices, understanding every cost component — from materials and labour to architect costs in Sydney is essential to making informed decisions. By planning well, budgeting smartly, and working with trusted professionals, you can bring your renovation vision to life without unwelcome surprises.
