We are experts with Auckland property, renovating and making your home more dynamic and livable. We renovate and extend homes to deliver beautiful, functional results that complement our clients’ lifestyles and budgets. When you need a company that wants you to succeed in making that dream become reality, make us your first call.
Billions of dollars are spent on renovations in Auckland every year, from humble suburban shacks in the outer suburbs to blue-ribbon mansions in Remuera & Herne Bay. So how much does it cost to renovate, what are the best returns and what other renovation advice or tips should I know before I start a renovation in Auckland? We have some advice below. If you have any renovation questions, please feel free to give us a call to have an obligation free chat on 0800 33 66 77
Have you heard that real estate saying, location, location, location?
In the instance of Auckland renovations…… You can find a renovation project in almost any area. The key is to renovate and refresh the property so that it adds appeal for the type of buyer looking in that area.
For example, an inner-city apartment is unlikely to be bought by a family of five.
A single person, couple or a property investor are the more likely buyers. Therefore, the property needs to be renovated to attract their attention.
The same goes for an outer-Auckland suburbs family home. Don’t spend money on extra parking if the house is in a wide empty street with loads of free parking. A fourth bedroom or a second bathroom would be money much better spent.
Researching the area to find out who lives there and who’s buying, and then targeting the renovation to them, is the key tip to picking a successful property.
This is the tricky bit. Not only do you need to buy within your price range but you also need to have the money to pay for the renovation.
All up, this renovating requires money – especially in the Auckland renovation market
You will need at least a 5 per cent deposit (although up to 20% per cent depending on your lender) plus the renovation funds and finally the interest repayments during the renovation.
Most of these costs such as interest rates can be calculated in advance. The big unknown is how much the renovation will cost.
Experience is the guide on building and renovation costs, along with a team of reliable electricians, plumbers & LBP builders.
Recent house renovations Trade Guys have undertaken have ranged from – $15,000 – $350,000
If you want a very vague idea of cost to renovate per square meter, try these figures as a guide, however please note that the figures can vary considerably. As a starting point,
$1800 m2 is very cheap renovation cost,
$2-2500 m2 is the average spend
Anything over $3000 m2 is a high quality renovation.
If you are thinking of renovating and extending, check out our guide – House Extensions Costs
This is where Auckland property market knowledge is critical. You should work out the figures on a worst-case scenario. We believe you should overestimate the home renovation cost and underestimates the sale price. This gives you a conservative profit analysis. If it doesn’t stack up on these conservative figures you are better off looking at an alternate home to renovate.
For example, potential capital gain is not included in the analysis. That’s a bonus but you should not rely on it given the potential volatility of the Auckland property market. However given the current market, we are aware of some astute renovators making a good living just working on renovations in Auckland. (Please check with a tax adviser or IRD with regards to renovating-for-profit. They can offer good advice regarding tax, Tax free capital capital gain and renovate to profit)
Our recipe for the best renovation cosmetic changes include: