The Most Popular Home Renovations in 2024

Name: The Most Popular Home Renovations 2024: Jacaranda Finance
Brand: Jacaranda Finance
Rating: 4.9 (2815 reviews)

In this renovations guide, we discuss the most popular home renovations in Australia, how much they are likely to cost, and more.
Last modified: 8th April 2024
William Jolly | 11 mins read

William Jolly

Content Manager

William is the Content Manager at Jacaranda Finance. He has worked as both a journalist and a media advisor at some of Australia's biggest financial comparison sites such as Canstar, Compare the Market and Savings.com.au, and is passionate about helping Australians find the right money solution for them.

You can get in touch with William via williamj@jacarandafinance.com.au.

Renovation trends in 2024

There’s no sign that renovations and home improvements are set to become any less popular in 2024. Last year, the 2023 AU Houzz State of the Industry report found that more than half of experts and companies (53%) were optimistic about what lay ahead, with 36% neutral.

Here’s what could be in store for renovations in 2024:

Prices will keep rising

The Cordell Construction Cost Index (CCCI) shows that construction material costs will continue to rise in 2024, albeit at a slower pace than the year before. At 2.9%, the latest 12-month increase was the smallest annual rise in the national CCCI since the year to March 2007 (2.7%) and below the pre-COVID decade average (4.0%).

Prices for tradies aren’t showing similar signs of slowing any time soon, though. According to the Housing Industry Association (HIA), the average cost of all skilled trades showed an official 4.4 % increase in 2023.

Green, energy-efficient renovations in demand

Australian homeowners are increasingly prioritising sustainability in their renovation projects, such as the installation of solar panels, energy-efficient appliances, and water-saving fixtures.

The 2023 AU Houzz & Home Renovation Trends Study found almost half of renovating homeowners cite improving energy efficiency as highly important when completing home improvements (46%). Upgrades to windows or skylights, roofing and insulation have also become steadily more critical since 2020 (27%, 21% and 16%, compared with 20%, 16% and 12%, respectively).

According to the Green Building Council, living in a Green Star Home will typically reduce your energy consumption by 56-60%, equating to energy bill savings of $90 - $140 per month.

Kitchens, bathrooms and home security systems

Houzz also found that interior spaces like kitchens and bathrooms were by far the most popular areas to renovate in 2023 and will remain so this year. With more than two-fifths of homeowners living in homes built in 1980 or earlier (42%), homeowners are also splashing the cash on adding home system improvements, such as extra security features.

Bathroom Renovation Loans

Working from home

Before the pandemic of 2020, just 13% of people aged 18 and over with a job reported working from home. Now, the number who work from home at least once a week is nearly half (46%): as many as 88% of Australian workers would like to work from home at least partially, and 60% would prefer a hybrid work arrangement.

As remote work becomes a permanent fixture for many Australians, creating a dedicated home office space is a priority. Homeowners are converting spare rooms or underused spaces into functional offices, emphasising ergonomic design and quiet work environments.

Which renovations were the most popular in 2023?

To give you an idea of what other Aussie renovators are prioritising, these are the most popular renovations according to Compare the Market’s analysis of monthly Google searches:

Bathroom renovations: 27,100 monthly searches.
Outdoor kitchens: 22,000 searches a month.
Fencing: 18,100 searches a month.
Flooring: 12,100 monthly searches.
Landscaping: Also 12,100 monthly searches.

Coming in 6th and 7th in Compare the Market’s list were indoor kitchens and solar panels, respectively.

However, this research is just based on search intent. In previous years, Houzz’s research shows the kitchen is the interior room we actually renovate the most, accounting for 26% of all renovations in 2022.

How much does a full home renovation cost in 2024?

Renovating a home in Australia in 2024 requires careful planning and budgeting, as costs can vary widely based on the scope of the project, the materials chosen, and the property's location.

According to HiPages, large-scale home reno projects can cost between $100,000 and $300,000. Meanwhile, the median spend is about $35,000.

Annual Renovation Spend (AUD$)
	2020	2021	2022
Median	$21,000	$30,000	$35,000
Top 10% (by spend)	$150,000	$230,000	$200,000
Source: Houzz

On average, renovation costs can range significantly, depending on the quality of finishes and the rooms being renovated. For instance, Luxury materials, like granite or marble countertops, can dramatically increase the cost, ranging from $200 to $700 per square metre.

It's also essential to account for hidden expenses, such as unexpected structural, plumbing, or wiring issues, which could add $1,000 to $5,000 to your budget.

Renovation costs by room: 2024

In 2024, the costs for renovating different rooms in an Australian home vary significantly. According to various sources like HiPages and Soho, here’s what you can expect to pay to renovate each of the following rooms in 2024 and a comparison to what they used to cost in previous years. Click the links below to jump to each room:

Bathroom renovation costs
Kitchen renovation costs
Bedroom renovation costs
Living room renovation costs
Study/home office renovation costs
Outdoor renovation costs

Bathroom renovation costs

Costs for updating a bathroom can start from $10,000 - $15,000 for basic updates to more than $30,000 for luxurious renovations. These costs are influenced by the size of the bathroom, quality of materials, and design complexity.

	2012	2016	2024
Bathroom Renovation	$9,000 - $12,000	$15,000 - $25,000	$15,000 - $30,000

Kitchen renovation costs

Kitchens are typically one of the most expensive areas to renovate due to extra costs like wiring, appliances, cabinets, countertops and installation. You can expect to pay anywhere from $25,000 to $50,000 for the average kitchen reno, but smaller-scale projects can cost around $10,000 or less.

	2012	2016	2024
Kitchen Renovation	$12,000 - $16,000	$22,000 - $34,000	$25,000 - $50,000

Bedroom renovation costs

Bedrooms are one of the most fun rooms to renovate: as the place where you’ll spend one-third of your life, it’s important to have a space that’s comfortable and meets your preferences.

Depending on whether it’s a master bedroom with an en-suite or a secondary bedroom, a big difference can be made cost-wise. Without an ensuite, you could be looking at around $10,000 - $30,000. For a larger master bedroom, costs could be as high as $100,000+.

	2012	2016	2024
Bedroom Renovation/Extension	$18,000 - $24,000	$36,000	$35,000 - $100,000

Living room renovation costs

One of the most important rooms where you’ll no doubt be entertaining many guests (or just watching Netflix), living room renovation costs are about what you’d expect. Similar to bedrooms, living room updates can cost between $10,000 and $30,000, depending on the scale of the renovation.

Study/home office renovation costs

With WFH becoming the norm, you can either build a new home office to work in or renovate an existing room to become a study. Either way, you could be looking at costs ranging from $6,000 to $16,000+, according to Savings.com.au.

Outdoor renovation costs

According to HiPages, a 9m² deck or patio installation can cost anywhere from $1,800 to $9,000, just to name one example.

	2012	2016	2024
Deck or Patio (9m²)	$1,620 - $8,000	$1,800 - $8,150	$1,800 - $9,000

Improving other outdoor areas, such as landscaping, starts around $10,000, based on the size and complexity of the design.

How should you pay for your renovation?

As you can see above, home renovations tend to come with a hefty price tag. Even minor additions to your home can still cost thousands, while major additions like extra rooms can cost in the six-figure range.

Once you factor in the rising costs of materials, labour and more in 2024, you’ll need to figure out how you’ll pay for your renovation before getting started. In 2022, there were five main methods of paying for a home renovation, according to Houzz:

Cash or savings: 79%
Cash from a previous home sale: 16%
Equity/mortgage refinance: 13%
Credit cards: 11%
Gifts or inheritance: 8%

Weigh up the pros and cons of each of these methods that are available to you, as the best one will depend on your circumstances. For example, cash or savings can be quick and carry no interest charges but can be financially draining, particularly if you end up needing some emergency funds later on.

On the other hand, using the equity in your current home and refinancing is a prevalent option for funding renovations. Still, it actually requires you to own a home and have built up equity in the first place.

Depending on the value of your renovation, you can also use a personal loan if you’d prefer to borrow the funds at a fixed interest rate and repay in instalments over time.

Try our home improvement loans

Don't let a lack of immediate funding prevent you from turning your house into the home of your dreams. If your renovations cost $25,000 or less, a Jacaranda Finance Home Improvement Personal Loan could be just what you need!

Our loans offer fixed interest rates and loan terms for as long as 48 months. Plus, with our flexible repayment options, you can pay extra towards your loan without any additional fees, speeding up your loan repayment and saving on interest.

And there's more – with Jacaranda Finance, you can check your credit score for free using our FastMoney app, helping you stay on top of your financial health as you embark on your home improvement journey.

Apply now, and you could get started on your home renovation sooner than you thought: we offer same-day loan approvals,² and you can complete an application in just 5-12 minutes¹