If you follow this blog, then you will know that the kitchen is the most renovated room of a home. But did you know that it is also the most expensive room to renovate?
Given that I am renovating my kitchen in 2020, I thought I should take my own advice and focus on planning and budgeting. So, before I use our 3D kitchen planner to design my dream kitchen, I looked into what a kitchen in 2020 it is likely to cost me (versus what I assume it will cost, or how much I can afford to spend). And, what I found out was quite surprising.
The average cost of a kitchen renovation in 2020
Based on the results of Houzz’s Overview of Home Renovation in 2018 and 2019, the median kitchen renovation cost increased by 16% from 2017 to 2018. In 2017, the median kitchen renovation spend was $17,250, while in 2018, homeowners splurged $20,000 on average on their kitchen renovation.
Does this mean that we should expect another rise of around 16% in 2020? If so, that would take the median kitchen renovation cost in 2020 to around $23,000.
How to determine your kitchen renovation budget?
There estimate above really isn’t accurate enough to set in stone as to how much a kitchen renovation will cost in 2020 as it is only the median cost. Important elements to take into account include the size of the kitchen and the quality of finishes.
As a rule of thumb, a kitchen renovation budget should be around 3-8% of a home’s value. Therefore, if your home is worth $500,000, you can safely spend between $15,000 and $40,000 without overcapitalising. The cost of a bathroom renovation can also be estimated at $ 2,900 per square metre.
Breaking down kitchen renovation costs for 2020
When planning a kitchen renovation budget, it is best to break it down into categories to better asses the costings. The main areas to consider in your budget include the design, materials, and labour.
In the design costs, consider costs for:
- Architect (if you are looking to make a dramatic layout change)
- Kitchen Designer
- Council permit application
The design costs should account for around 5-10% of your kitchen budget depending on whether you require an architect or not.
In the material costs, consider costs for:
- Splashback / Tiles
- Windows and Doors
- Walls and Ceilings
The material costs should account for around 65-70% of your kitchen budget.
It’s important to know that the materials are the only aspect of a kitchen renovation where you can save some serious money. Kitchen cabinets will be the most expensive items, generally consuming around 30% of a total kitchen renovation budget, respectively. However, you can significantly reduce this by choosing Ross’s Discount Home Centre’s pre-assembled kitchen cabinets, which you can view on our website.
In the labour costs, consider costs for:
- Demolition and removal of existing kitchen
- Skip bin hire
- Plumbing work
- Electrical work
The labour costs should account for around 20% of your kitchen budget.
It seems that the cost of a kitchen renovation isn’t getting any cheaper. It is only getting more and more expensive, and the increase isn’t small. From 2018 and 2019, kitchen renovations cost 16% more than they did the previous 12 months. So, it’s fair to say you can expect the same increase for 2020. This will take the average kitchen renovation cost to around $23,000. However, the size of a kitchen and the quality of finishes will significantly alter this price.
To keep your kitchen renovation costs down to a minimum, shop around for your materials. Start by looking at Discount Home Centre’s pre-assembled kitchen cabinets, along with our benchtops, tiles, tapware, doors and windows and appliances.
We have everything you need to complete a kitchen renovation in Perth without it costing a fortune.