Deciding whether to renovate or sell isn’t a small decision. You might love where you live but feel like the house no longer works for you. Or maybe you’re wondering if it’s time for a fresh start. Either way, it’s a decision that blends financial, lifestyle, and emotion.
If you’re weighing up your options in Perth, this guide will walk you through the key things to consider so you can make a well-informed decision that suits your home, your budget, and your future plans.
Key things to think about
- What your home is really worth in today’s market
- The emotional connection you have to the space
- The true cost and value of renovating
- Current Perth property trends
- Whether your home can adapt to your future needs
If you’re at the very beginning of this process and want a clearer picture of what renovating actually involves, Hatch Renovations has put together a practical guide to renovating your home, which walks through the process step by step and helps set realistic expectations from the start.
Take an honest look at your current situation
Before you start planning a renovation or calling an agent, it’s worth stepping back and looking at the bigger picture. This isn’t just about square metres or bedroom count. It’s about where you are now and where you’re heading.
What is your home actually worth?
It’s easy to have a number in your head, but the market ultimately decides value. Start by looking at recent sales of similar homes in your area. Online estimates can help, but nothing beats advice from a local real estate professional who understands your suburb.
Knowing your home’s true value helps in two ways. If you’re selling, it sets realistic expectations. If you’re renovating, it helps you avoid spending more than you’re likely to get back.
How attached are you to the home?
Homes hold memories. That matters.
Ask yourself:
- Could you picture someone else living here?
- Would leaving the neighbourhood feel like a loss?
- Are emotions influencing what feels like the “right” choice?
There’s no wrong answer here. Emotional attachment doesn’t mean renovating is automatically the better option, but it does deserve a place in the decision.
What will you need from your home next?
Families grow, routines change, and priorities shift. Think about whether your current home can realistically evolve with you.
If the location still works and the structure has potential, renovation can be a smart way to adapt without starting over.
The real cost of renovating
Renovations can add value and dramatically improve how you live, but only if they’re planned properly.
Setting a realistic renovation budget
A clear, realistic budget is non-negotiable. Renovation costs add up quickly, particularly once work begins and unknowns appear behind walls or under floors.
Your budget should include:
- Labour and trade costs
- Materials and finishes
- Council approvals if required
- A contingency of at least 10–15 percent
If budget is a concern, this guide on how to keep your renovation on budget breaks down where costs commonly blow out and how to plan properly so there are fewer surprises along the way.
Will renovations actually pay off?
Not all renovations deliver the same return. Kitchens, Bathrooms, Laundry spaces generally offer the strongest value uplift, especially when they suit the surrounding homes and buyer expectations.
Overcapitalising is one of the most common mistakes homeowners make. Spending well beyond what buyers expect in your area rarely delivers the return you’re hoping for, no matter how good it looks.
How will you fund the work?
Funding might come from savings, refinancing, or a construction loan. Each option has implications, so it’s worth speaking with a mortgage broker or financial adviser before committing. The goal is to make sure the renovation improves your position, not stretches it.
When selling might make more sense
Sometimes, selling is the cleaner option.
Understanding Perth market conditions
Perth’s property market shifts, and timing matters. Buyer demand, supply, and broader economic conditions all influence results.
A local agent can give you clear insight into:
- Current buyer demand in your area
- How comparable homes are performing
- Whether conditions favour sellers right now
Timing your sale
Spring and early summer often attract more buyers, but personal timing matters just as much. If selling supports your lifestyle or financial goals, waiting for the “perfect” market isn’t always necessary.
Unlocking your equity
Selling can free up equity for your next home, other investments, or lifestyle plans. For many homeowners, that flexibility is the biggest advantage of selling.
Renovating well: what really matters
If you choose to renovate, quality and strategy make all the difference.
Focus on the right projects
Not every renovation adds value. Prioritise spaces that improve everyday living and appeal broadly to future buyers, such as kitchens, bathrooms, outdoor areas, and practical extensions.
Kitchens, in particular, are one of the biggest value drivers in a home, but they’re also easy to get wrong. Hatch has outlined the most common kitchen renovation mistakes to avoid, which is well worth reading before locking in layouts, finishes, or appliances.
Invest in quality materials
Good materials last longer, look better, and reduce maintenance over time. Buyers notice the difference, and so do homeowners living in the space day to day.
Work with the right professionals
Experienced designers and licensed trades bring clarity and confidence to the process. They help avoid costly mistakes and ensure work meets regulations.
Always check credentials, compare quotes, and make sure everything is clearly documented before work begins.
Making the decision with confidence
At this point, it’s about balance.
Weigh the pros and cons
Look at both options side by side, considering finances, lifestyle impact, time, and emotional factors. Writing it down often brings clarity.
Get expert advice
Real estate agents, designers, and financial advisers can offer perspectives you might not have considered. Good advice usually pays for itself.
Think long-term
Short-term disruption can be worth it if it aligns with where you want to be in five or ten years. Equally, selling can open doors that renovating simply can’t.
So, renovate or sell?
There’s no universal answer. The right choice depends on your home, your finances, and your future plans.
If you love your location and your home has good bones, renovating can transform the way you live. If your needs have outgrown the space or your lifestyle is changing, selling may be the better move.
Take your time, ask the right questions, and lean on experienced professionals. When the decision is made thoughtfully, either option can be the right one.
Frequently Asked Questions
Is it better to renovate or sell?
It depends on your goals, budget, and how well your home suits your future needs.
How do I know if I’m overcapitalising?
Look at recent sale prices in your area and set a renovation budget that aligns with them.
What renovations add the most value?
Kitchens, bathrooms, and functional living spaces typically deliver the strongest uplift.
Can I live in my home while renovating?
Smaller or staged renovations can sometimes allow this, while larger projects may not.
Should I speak to a builder before deciding?
Yes. Early advice can help you understand feasibility, costs, and options.
Thinking about what’s next?
If you’re still weighing things up, speaking with a renovation specialist can help bring clarity. Hatch Renovations share plenty of practical guidance across their site and are always happy to talk through ideas if you’d like to explore what’s possible for your home.