Stay and Renovate,
Knock Down and Rebuild, or Move?

So you need more space and you don’t know whether you should stay and renovate, knock down and rebuild, or throw in the towel, sell up and buy.

Wondering which is the right decision? Well it all comes down to a numbers and a values game.

Below you will find a resource we’ve created to help you calculate a rough cost for each option and how long the process may take – understanding this game can be tough as there are so many variables.

But first, let’s dive in and chat about all of the options in more detail.

STAY AND RENOVATE

When deciding to stay and renovate, you’ll need to make some important decisions about the design and build methods, as well as how you plan to manage the project. Securing funding is also crucial, particularly for owner-builders who may face stricter lending criteria. Understanding available funding options and how they align with your project goals is key. 

Check out our articles Renovate for Profit with These 8 Steps where we cover the different options and which might be the best fit for you, as well as The Building Blueprint where we touch on fund and finance considerations.

The Process of Renovating/Extending:

There are many ways you can run a project and build like this, which all result in different timeframes and methods of building. The below is a very general overview as it ultimately depends on your build and how you want to manage it. Ie. Are you an owner builder staging the project while you live in it, or will you move out and hire a builder doing a complete overhaul?

Timeline estimates to consider when renovating:

1. Hire a Designer and complete design (3-12 months)
2. Apply for permits (planning/building) (3-12 months)
3. Select and negotiate/tender to a builder (2 months)
4. Build/renovate (3-18 months)
5. Move in and enjoy

Some costs to consider when renovating:

1. Professional fees
2. Construction costs
3. Move out and rent
4. Restyle and enjoy

Depending on the advice you receive, you may be told this is the more expensive or the cheaper option. Unfortunately, there isn’t a one-size-fits-all answer. To determine the costs and whether you can achieve your goals, you’ll need to either consult with experts or familiarise yourself with the process to try and work it out on your own.

Some important things to keep in mind and consider:

• How much work do you need to do to the existing structure? How much can you retain? For example, if you can keep the floor, roof and walls, then you will not need to pay for a new floor roof and walls. Can you bring what is existing up to current standards?)
• How much new space do you need to add to the floor area and how are you looking to do this? Some methods of building are more expensive than others.
• Values on this being your home and how you wanted it to look and feel.

Luckily, we have some Case Studies of BuildHers who have extended/renovated that you can reference!

Barbara – The ‘Design Team & Tender’ Method

Caitlin – Using The Blended Buildher Model

Hannah – An Art Deco Transformation

Elise – The Journey of an Owner Builder

KNOCK DOWN AND REBUILD

First things first, you guessed it – you need to determine the design and build method. Additionally, the size of the home and the associated costs must be carefully planned out. Setting a realistic budget is essential, as this will guide your decisions throughout the entire project, from design choices to material selections and contractor negotiations.

The process of knocking down and rebuilding:

1. Hire a Designer/Builder
2. Apply for permits (planning/building)
3. Tender to a Builder/firm up the contract
4. Build, landscape
5. Move in and enjoy

The costs of knock down/rebuild to consider:

1. Professional fees – Designers, Engineers, etc.
2. Construction costs
3. Move out and rent
4. Restyle and enjoy

There are so many considerations with this, including:

• Are you doing an architectural build
• Are you using a volume builder?
• Is there heritage or are there planning considerations?

Often touted as the cheaper way to get a new home, we find this is not always the case.

A good start here is to determine what size home you are looking at and then multiply that by a cost of new build.  New builds range in pricing from $2,500 per m2 to $6,000 + per m2. It will depend on things like site conditions, the area you are building, the builder selected, details within the build, and the structure.

Here are some helpful Case Studies of BuildHers who have gone through this process:

Samone – Building With A Volume Builder

Basia – Design & Construct Building Method With DevelopHer

Anna – Managing Costs & Maximising The Design Phase

Please note: If you are finding this overwhelming – you’re not alone! This is exactly why we have created BuildHer Collective (because navigating this stuff is so tricky if you don’t have all the information)! We’ve developed resources like our Quarters magazine (the current edition focuses on Building Fundamentals and covers all of what we have touched on in this article in more detail, for just $39), the Build Like a BuildHer course, and personalised consultations to help you navigate this journey with confidence.

RELOCATE

This can in fact be an amazing step towards your future, one which could get you there sooner with what you need. We do understand when you have hopes and dreams of renovating or building that it can sometimes feel like a disappointing outcome. Please know this is not always giving up!

The process of relocating:

• Big decisions! Buy or sell first, research comparable properties.
• Sell, buy, move.
• Values – is your home sentimental to you for reasons other than how you live. For example, is it a generational home, next to family etc.

The costs of relocating to consider:

• Works required to present your home in its best light
• Sales costs: agents fees, marketing, styling, relocation.
• Purchase costs: stamp duty, legals, relocation costs, any initial works required.

The Outcome

Laying out your timelines, costs, and potential outcomes side by side can really give you a clearer idea of what the best option might be. Renovations might seem faster or more cost-effective, but that’s not always guaranteed. The real challenge is figuring out the right path to take, and this uncertainty can be overwhelming. It’s often this decision-making struggle that makes people hesitate, sometimes for months or even years.

But remember – knowledge is power and we are here to help you gain the knowledge you need to make informed decisions.

Download our “Love it or Leave It” worksheet here to help you get some clarity, or book in that consult with us here – we’d love to help!