“How much does a renovation cost?” is the first question almost everyone asks, and the honest answer is: it depends on a handful of decisions and on what’s already there. Online price lists can’t see your home. This guide explains what actually moves the price, so you can plan a budget and compare quotes properly.

1. Keeping or changing the layout

The biggest single cost driver in a bathroom, kitchen or laundry is usually whether things move. Keeping the shower, toilet, sink and appliances where they are means the existing plumbing and drainage can be reused. Moving them means new pipes, possibly cutting into a slab or working under the floor, and more work for licensed plumbers and electricians.

Moving or removing walls adds more again. If a wall is load-bearing, you’ll need an engineer’s design and, in most cases, a building permit.

2. Fixtures and finishes

This is where you have the most control. Tiles, tapware, vanities, benchtops, cabinetry and appliances all come in a wide range of prices, and the labour to install them can differ too. Large-format or intricate tiles, for example, take longer to lay than standard ones.

A practical approach is to decide early where you want to spend (often the things you touch every day, like taps and benchtops) and where a simpler option is fine.

3. What’s behind the walls

In older Melbourne homes, stripping out a bathroom or kitchen can reveal water damage, rotten framing, old wiring or uneven floors. These need fixing before new work goes in. Homes built before 1990 may also contain asbestos, for example in wall sheeting or vinyl flooring: it must be identified before strip-out and removed by a licensed removalist where required, as WorkSafe Victoria explains. A careful builder will point out likely risks during the site visit, and it’s sensible to keep a contingency in your budget for surprises.

4. Waterproofing, compliance and trades

Wet areas must be waterproofed to the required standard, and plumbing and electrical work must be done by licensed trades. Structural work usually needs a building permit. These aren’t optional extras, and a quote that seems much cheaper may have left some of them out.

5. Access, staging and living at home

Apartments with lifts and body-corporate rules, upper-floor bathrooms or tight access can add time. So can staying in your home during the works, which is often possible but may mean staging the job differently.

How to compare renovation quotes

  • Same scope: make sure each quote covers the same work, from demolition to final clean.
  • Inclusions and exclusions: check who supplies fixtures, and whether waterproofing, electrical, plumbing, rubbish removal and permits are included.
  • Written and itemised: a written quote and contract protects both of you. Consumer Affairs Victoria explains your rights when building or renovating.
  • Check the builder: see our guide on how to check a builder in Victoria.