Why Renovations Are the Focus Right Now
The momentum in the Australian housing sector is shifting strongly from new-builds to upgrades. A recent release from Housing Industry Association (HIA) forecasts that renovation investment will remain a major driver of activity through 2026 and beyond.
In New South Wales for example, renovation investment is projected to outpace that of Victoria by nearly 50 per cent in 2026 At the same time, national data indicates that renovations already account for roughly 40 per cent of total residential construction spend.
Further reinforcing the trend, a market-report outlines that Australia’s home improvement segment was valued at approximately A$23.81 billion in 2024 and is expected to grow at a compound annual growth rate (CAGR) of around 7.2 per cent to 2034.
Several structural factors explain this focus. In markets such as Sydney the cost of land and new housing continues to escalate. For example, recent reporting shows building new homes has surged by more than 37% since the pandemic in many states.
In addition, the median price for residential land in the September 2024 quarter reached A$366,510, up 7.6 per cent in just one year. In markets like Sydney where land supply is constrained and regulatory burdens are heavy, these cost pressures are especially acute: one estimate shows that buyers of a new house and land package face regulatory and tax charges alone averaging A$576,000, almost as much as half of the building cost itself. When faced with such stacked upfront costs, many owners choose instead to invest in the home they already own.
With relocation increasingly expensive and planning constraints more complex, homeowners are looking at in-place solutions. Renovations also have a relatively shorter lead time, in comparison to a new development.
Even beyond the cost, certain other behavioural trends are cementing this pivot. Renovation offers homeowners improved liveability, more space, better functionality and the opportunity to extract more value from existing assets.
Why Accessibility Renovations Are Worth the InvestmentAccessibility features are like first aid for your home. You might not need them now, but when you do, they can make life a lot easier.
As Australia’s population continues to age, more families are choosing to adapt their homes to meet changing needs rather than move into new or smaller properties.
According to the Australian Bureau of Statistics, around one in six Australians is now aged over sixty-five, and that number is projected to rise sharply in the next decade.
With this shift, the conversation around home improvement is increasingly focused on safety, comfort and long-term independence. Accessibility renovations can take many shapes.
Some homeowners install a residential lift to make multi-level living easier, while others choose to widen hallways and doorways, add non-slip flooring or reconfigure bathrooms for wheelchair access.
These upgrades may sound purely practical, but in many cases they also enhance the home’s aesthetic value and functionality.
Modern home lifts, for instance, often feature sleek glass panels and compact designs that complement contemporary interiors Specialist providers like Goldenhome Lifts have made residential lifts sleek and cool again.. At the same time, they allow older residents to continue living comfortably in the spaces they love without the physical strain of stairs.
The financial argument is equally strong. With Sydney and Melbourne property prices among the highest in the country, moving to a single-level house can cost far more than upgrading an existing one.
Certain renovations can also find a positive correlation between renovations, when executed well, and the resale value by between ten and fifteen per cent because they appeal to a broader buyer demographic, including families with young children and ageing parents.
This makes them one of the few renovation types that combine emotional and economic returns. Accessibility improvements also make homes more adaptable for multi-generational living, a trend that has gathered steam since the pandemic.
Many households are now accommodating grandparents or adult children under one roof, and design changes such as lifts, ramps and level flooring make shared living more manageable. These projects contribute to quality of life every day and reduce the risk of costly injuries or future relocation.
Final Thoughts
Australia’s renovation wave is not a passing phase but a practical response to a housing market that has priced many people out of moving or upgrading their living space.
For homeowners weighing the cost of relocation against the comfort of familiarity, the choice to stay and improve what they already own is becoming the logical one.
Accessibility upgrades are in a way, a reflection of that mindset. They make living easier for older residents, more convenient for families and safer for everyone without stripping a home of its character.
More importantly, they prepare houses for the long run by adding functionality, comfort and some good ol’ resale value in equal measure. As more Australians choose to adapt rather than uproot, expect this trend to get more mainstream attention.
