Kitchen vs. Bathroom Renovation: What Adds More Value to Your Home in Melbourne?

A well-planned kitchen or bathroom renovation can lift your home’s value in Melbourne, but one upgrade creates a bigger impact than most people expect. With renovation costs rising, hidden issues in older homes, and strict Victorian regulations, choosing the right project first can save thousands and help you avoid major stress.

This guide brings together homeowner stories, expert insights, Melbourne market data, and real renovation challenges to help you decide whether the kitchen or bathroom offers the best return in 2026.

The Melbourne Dilemma: Which Renovation Pays Off More?

Picture a couple in Glen Waverley standing in their dated 1970s home. The kitchen feels cramped and the old bathroom has mould creeping through the grout. The budget will only cover one renovation this year. Like thousands of homeowners, they ask the same question: which one adds the most value?

Most real estate agents agree on one point. Kitchens make the biggest impression at open inspections. A bright, modern kitchen with stone benchtops and smart storage attracts buyers faster and often increases offers. Bathroom upgrades also help, but an outdated kitchen turns buyers away more than a dated bathroom.

Across Melbourne’s 2024 to 2026 sales data, renovated kitchens return about 70 to 90 percent of their cost. Bathrooms deliver around 60 to 80 percent. In suburbs with strong entertaining cultures, such as the southeast, kitchens do even better. Experts suggest starting with the kitchen unless the bathroom has functional issues like leaks or poor layout.

The Real Costs in Melbourne: Kitchens Are Expensive, Bathrooms Are Predictable

Renovation budgets vary by suburb and home age, but general Melbourne averages look like this:

Kitchen renovation costs

• Budget: 20,000 to 35,000
• Mid-range: 35,000 to 65,000
• Luxury: 65,000 and above

The biggest cost drivers include cabinetry, stone benchtops, appliances, layout changes, and electrical upgrades. Joinery alone can take up 30 to 40 percent of the total budget.

Bathroom renovation costs

• Standard: 15,000 to 25,000
• Mid-range: 20,000 to 35,000
• Luxury: 30,000 and above

Bathroom costs usually come from waterproofing, tiling, plumbing, and fixtures. They are smaller spaces, but labour is intensive.

Homeowners often face extra costs in older Melbourne homes. Common surprises include demolition fees between 2,000 and 5,000 dollars, asbestos removal reaching up to 10,000 dollars, and rewiring or plumbing upgrades that add 5,000 to 15,000 dollars. Heritage terraces and interwar homes are the most unpredictable. Many homeowners report budgets rising 20 to 30 percent due to hidden issues.

Timeline and Daily Disruption: Kitchens Hit Harder

Renovation timelines are another key part of the decision.

Kitchen timelines

Most take eight to twelve weeks to plan and build. Families feel the disruption more because cooking becomes difficult. Many rely on takeaway or makeshift setups in garages or laundries.

Bathroom timelines

Most run for four to eight weeks. They move faster when fixtures stay in the same place. The main challenge is losing a shower or toilet during the build, which can be stressful for larger families.

When projects happen in occupied homes, dust, noise, and delays are common. Skilled Tradies Melbourne specialises in handling fully operational job sites, which reduces stress for busy households.

Regulations and Legal Requirements: Do Not Skip Compliance

Melbourne homeowners often get caught out by permit rules. Cosmetic updates do not need permits, but structural work, plumbing changes, or electrical upgrades do.

What requires a permit in Victoria

• Moving plumbing points
• Removing load bearing walls
• Adding windows or skylights
• Major layout changes
• Significant electrical upgrades

Bathrooms also require licensed waterproofing. The Victorian Building Authority reports that failed waterproofing is the most common renovation defect. Leaks often cost more than 10,000 dollars to repair.

If work is done by unlicensed tradies, homeowners risk:

• Fines
• Insurance voids
• Stop work orders
• Problems during resale when buyers request compliance certificates

Consumer Affairs Victoria receives regular complaints about delays, poor finishes, and cost blowouts. Most disputes come from projects where owners tried to cut corners or skipped verification of licences.

Older Melbourne Homes Bring Hidden Risks

Heritage and mid-century homes across Melbourne often hide costly problems. These appear in more than half of renovation projects.

Common issues include:

• Asbestos in walls, ceilings, or floors
• Rusted or outdated plumbing
• Old wiring that fails safety checks
• Non-compliant waterproofing from past DIY work
• Uneven floors that need levelling

These problems can add 5,000 to 20,000 dollars in extra work. They also extend timelines. Builders advise a 20 percent contingency fund for any home built before 1990.

Lifestyle Value: Kitchens Change Daily Life, Bathrooms Create Calm

Kitchens provide daily value. A functional layout, more storage, and better lighting improve cooking, entertaining, and family time. Open plan designs have been especially popular in Melbourne for the last decade.

Bathrooms offer sanctuary value. Features like walk in showers, good ventilation, and quality tiles create a sense of calm. They improve comfort, but the lifestyle impact is not as strong as the kitchen for most families.

Kitchens tend to last fifteen to twenty years. Bathrooms last ten to fifteen before grout, seals, or fixtures need updates. Waterproofing failures can occur earlier and cost between 10,000 and 30,000 dollars to fix.

What Homeowners Say: Real Stories and Reddit Insights

Recent discussions on Reddit reveal mixed experiences. Many homeowners report budgets rising 20 to 50 percent due to hidden problems. Others share frustration with unreliable tradies, delays, and overcharging.

Several commenters say that renovated bathrooms help properties sell faster because buyers dread searching for tradies. A buyer noted that a renovated bathroom feels like a relief, especially in the current market where skilled tradies are busy.

Some homeowners regret spending heavily before selling. Others believe light updates that match the home’s style deliver the best results. Many agree that bathrooms need to match the quality of the rest of the home. A high end bathroom in a low end house feels out of place and does not lift value.

So Which Renovation Should You Do First?

Kitchens create more value and influence more buyers. They also improve daily living. For most households, the kitchen should come first.

Choose the bathroom first if:

• It has leaks
• The ventilation is poor
• Mould keeps returning
• The layout is unsafe or cramped

In apartments, a fresh bathroom can be more important because buyers notice poor waterproofing and tight spaces quickly.

Final Takeaway: Make the Right Choice for Your Home

The right renovation is the one that improves your lifestyle today and protects your property tomorrow. Kitchens generally deliver more value in Melbourne, but bathrooms matter when functionality drops or when the rest of the home has already been updated.

Homeowners who plan well, budget for surprises, and work with licensed renovators avoid most costly mistakes. Skilled Tradies Melbourne brings experience in occupied sites, multi phase builds, and compliance management, which helps keep projects on time and within budget.

A kitchen or bathroom renovation can lift your home and your lifestyle. The key is choosing the one that gives you the best mix of comfort, safety, and long term value.