Melbourne Home Renovation 2025: Top Trends, Costs & Expert Tips from 5J Building
Open-Plan & Zoned Living + Kitchen Upgrades
Smart Approach
In 2025, Melbourne home renovation trends show open-plan layouts evolving into broken-plan designs: partial walls, glass dividers, level changes, or timber screens create distinct zones for cooking, dining, working, and relaxing—ideal for inner-suburb homes.
Kitchens remain the heart of the home, now featuring multiple workstations, double islands, butler’s pantries, professional-grade appliances, and natural stone benchtops like granite or marble.
2025 Budget Guide (Melbourne)
- Mid-range kitchen: $25k–$45k; premium (double islands + high-end appliances): $45k–$90k+
- Butler’s pantry (3–5m², cabinets, benchtop, services): $8k–$20k
- Glass/partial wall dividers: $3k–$12k
- Structural changes (load-bearing walls): $7k–$15k; non-load-bearing: $1.5k–$3.5k
Extra Costs
- Engineer assessment: $800–$2,500
- Temporary supports, floor/ceiling repairs: $2k–$8k
- Premium natural stone: $1,000–$3,000+/m²
5J Building Tips
- Confirm material early—avoid rework.
- Prioritise workflow: plan circulation before finalising cabinet/electrical layout.
- Allocate budget to benchtops, hardware, lighting zones, and pull-out storage—these impact functionality most.
In any Melbourne home renovation, smart kitchen design is a key driver of long-term value.
Outdoor Living & Alfresco
Smart Approach
Melburnians are investing in year-round outdoor spaces, a standout feature in 2025 Melbourne home renovations. Automated louvred roofs, retractable blinds, heating, and cooling solutions extend outdoor living. Outdoor kitchens now often include pizza ovens, fridges, sinks, and weatherproof cabinetry, connected to indoor kitchens via bi-fold doors or serving windows.
2025 Budget Guide (Melbourne)
- Automated louvred roof (3×4m): $15k–$30k+
- Outdoor kitchen (basic): $8k–$20k; high-end: $20k–$45k+
- Large sliding/bi-fold doors: $12k–$35k
Extra Costs
- Decking (composite/ hardwood): $250–$450/m²
- Electric drop-down blinds: $2.5k–$6k each
- Gas/water plumbing relocation: $1.2k–$4k
5J Building Tips
- Install drainage before roof structures.
- Align indoor/outdoor surfaces for a seamless look.
- Use 316-grade stainless steel; annual maintenance recommended.
Outdoor upgrades are increasingly prioritised in Melbourne home renovation projects for lifestyle and entertainment.
Custom Storage & Multifunctional Spaces
Smart Approach
Bespoke joinery is both functional and a design feature in 2025 Melbourne home renovations: window seats, book walls, under-stair storage, and warm timber tones like Victorian ash, American oak, or walnut. Small homes benefit from multifunctional furniture—wall beds, fold-away desks, convertible living spaces.
Master bedrooms are now boutique-style dressing areas with drawers, shoe racks, jewellery storage, seating, and integrated lighting.
2025 Budget Guide (Melbourne)
- Custom joinery: $1,400–$3,500/m (depending on complexity)
- Walk-in wardrobes (8–12m²): $10k–$25k+
- Wall-bed systems/foldable desks: $3k–$9k
Extra Costs
- Internal lighting: $600–$2,000/room
- Uneven walls/floor levelling: $800–$2,500
5J Building Tips
- Plan storage based on inventory first, then design layout.
- Invest in quality hardware for long-term durability.
- Use layered lighting for visibility and aesthetic appeal.
Efficient storage planning is a hallmark of smart Melbourne home renovations, particularly in compact spaces.
Energy Efficiency & Sustainability
Smart Approach
Homeowners prioritise solar + battery storage and heat pumps in 2025 Melbourne home renovations. Passive design—cross-ventilation, eaves, thermal mass—is key to reducing energy load.
Water-saving features include rainwater tanks, greywater recycling, and drip irrigation.
2025 Budget Guide (Melbourne)
- Solar PV (6–10kW): $4k–$11k (post STC rebate)
- Home battery (e.g., Tesla Powerwall 3): $13k–$17.5k
- Heat pump hot water: $3k–$5k (after $1k Victorian rebate)
- Rainwater tank (3,000–5,000L): $2.5k–$6k+
- Greywater systems: $2.5k–$6k+
5J Building Tips
- Conduct energy load assessment before sizing systems.
- Choose expandable inverter/battery systems; pre-wire during renovation.
- Consider COP and noise when selecting heat pumps.
Energy efficiency is no longer optional; it’s a key selling point in Melbourne home renovation projects.
Smart Home & Health Technology
Smart Approach
Integrated smart systems control lighting, climate, security, and entertainment from a single interface. Health-focused tech includes HEPA filtration, touchless fixtures, humidity control, and circadian lighting. Remote work spaces benefit from enterprise-grade Wi-Fi, soundproofing, and flexible layouts.
These features are now standard in forward-thinking 2025 Melbourne home renovations.
2025 Budget Guide (Melbourne)
- Full-home automation: $15k–$40k+
- Enterprise-grade Wi-Fi (2–4 access points): $1.5k–$4k+
- HEPA air purifiers: $300–$1,000+
5J Building Tips
- Pre-wire all low-voltage circuits before finishing.
- Use few, upgradeable core devices for simplicity.
- Prioritise network infrastructure; it underpins smart home performance.
Heritage Home Modernisation
Smart Approach
Blend period charm with modern comfort in 2025 Melbourne home renovations. Rear extensions respect scale and materials, while energy upgrades like secondary glazing and underfloor heating improve comfort without altering heritage features.
2025 Budget Guide (Melbourne)
- Secondary glazing: $700–$1,400/m²
- Underfloor heating: $80–$140/m² (electric), $150–$300/m² (hydronic)
- Heritage consultant/permits: $1.5k–$5k
5J Building Tips
- Obtain approvals before construction.
- Use reversible interventions where possible.
- Prioritise insulation and glazing upgrades to enhance efficiency without damaging original finishes.
Example Overall Budget (2025, Melbourne)
- Mid-range kitchen + pantry: $35k–$55k
- Alfresco (3×5m) + outdoor kitchen: $25k–$50k
- Solar 10kW + battery + heat pump hot water: $23k–$32.5k
Pro Tip: For projects spanning multiple areas, phase design, approval, and construction to manage cash flow and reduce disruption.
These strategies reflect the most popular approaches in 2025 Melbourne home renovations, balancing style, functionality, and sustainability.
Ready to transform your home? Whether you’re planning a full-scale renovation or simply refreshing key areas, 5J Building is here to guide you every step of the way. Our Melbourne-based team combines expert craftsmanship with practical advice to ensure your project meets both style and functionality goals.
For personalised consultations or to discuss your next Melbourne home renovation, contact us today at (03) 9886 3731. Let’s bring your vision to life!
or request an Instant Quote Online.