Hidden Costs of Kitchen Renovations You Need to Know

A kitchen renovation project is one of the most rewarding upgrades you can make. It transforms an outdated space into a functional space, improves daily living, and adds value to your property. But renovating a kitchen is rarely as straightforward as it looks on paper. From plumbing and electrical work to council approval, material price shifts, and structural issues, hidden costs have a habit of catching homeowners off guard.

At A Class Building & Construction, we help Wollongong and Illawarra homeowners avoid budget overruns through careful planning and honest communication. Before starting your kitchen remodel, it pays to understand the costs involved so you can set a realistic kitchen renovation budget and avoid unexpected expenses.

Plumbing, Electrical Work and Council Approval

One of the most common surprises in kitchen renovations is the cost of updating plumbing and electrical work. In older homes, existing plumbing and wiring often fail to meet current standards. Relocating plumbing or gas lines to suit a new layout incurs additional costs, and electrical work, such as rewiring for modern circuits, can quickly add to them.

plumbing and electrical work in progress

If you are changing the layout of your existing kitchen, these costs are almost guaranteed.

Kitchen renovations involving major structural changes, new windows, or changes to plumbing and electrical work may require council approval. In the Wollongong region, permits can add $500 to $2,000 depending on local regulations and the project's scope.

Extensive structural changes, such as removing load-bearing walls, require engineering assessments and council approval. Skipping this leads to compliance issues and costly mistakes, so you need to factor it into your total renovation budget from the start. Once walls are opened or old cabinetry removed, hidden structural problems can also surface, from termite damage and moisture issues to asbestos in pre-1990 homes.

These unexpected repairs must be addressed before the renovation process can continue, and the cost implications can be substantial. An experienced builder can provide valuable insights into what to expect, helping prevent unexpected expenses that can blow out your renovation budget.

Kitchen Cabinets and Custom Cabinetry

Cabinetry typically accounts for 30 to 40 per cent of the total kitchen renovation budget, making it one of the biggest cost factors in any kitchen remodel. If your existing cabinets no longer suit the new kitchen style, replacing them with custom cabinets or engaging cabinet makers will increase the overall cost.

kitchen cabinets with custom cabinetry

We regularly see homeowners budget for standard cabinetry, then upgrade to soft-close drawers or solid-wood shelving once they see the difference. Kitchen cabinets are something you use daily, so investing in quality here rather than sacrificing it tends to pay off.

Appliances, Flooring and Material Costs

You might begin your kitchen remodel with a plan for new benchtops, then realise mid-project that the old range hood looks out of place or the basic appliances no longer suit the space. Upgrading to premium appliances or adding new appliances you hadn't budgeted for is a common way for kitchen renovation costs to creep up. Installation costs also vary, particularly where electrical work is needed, so decide on appliances during the planning process rather than mid-build.

When walls or cabinetry come out, they often reveal gaps in the kitchen floor that need patching or replacement. If the existing layout changes, new flooring may need to extend into adjoining rooms, and choosing hardwood flooring or natural stone can raise renovation costs.

Opting for durable, cost-effective materials can help you save money without sacrificing quality. High-quality materials can vary significantly based on supply and demand, and material costs usually account for 60 to 70 per cent of the kitchen renovation budget.

Affordable, locally sourced products offer budget-friendly options, while waste removal and extra materials should be factored into your renovation budget.

Temporary Living and Waste Removal

While your kitchen renovation is underway, you lose access to cooking and preparation space. Kitchen renovations typically take one to four weeks, depending on the project's scope, and takeaway meals or eating out add up quickly.

Waste removal costs in the Wollongong area range from $500 to $1,500, so budget for skip hire and clean-up from the start. Utility bills may shift during construction if temporary power setups are required.

Setting a Realistic Kitchen Renovation Budget

The average cost of a kitchen renovation in Australia ranges from $25,000 to $150,000, depending on your project's size and materials.

Kitchen renovations typically fall into three brackets:

  • $10,000 to $22,000 for budget
  • $22,000 to $45,000 for mid-range
  • And $45,000-plus for high-end.

Allocate an additional 10-20 per cent of your renovation budget for unforeseen costs during the kitchen renovation process to prevent them from derailing your overall budget.

Labour costs generally make up 20 to 35 per cent of the total renovation cost. While DIY projects can reduce labour costs, this requires an honest assessment of your skills to avoid costly mistakes. Hiring professionals for kitchen renovations can save money in the long term by keeping the build on track.

Build Your Dream Kitchen with Confidence

kitchen renovation results

As 2025 MBA Regional Award winners for Best Kitchen, A Class Building & Construction brings proven expertise to every kitchen renovation project. With over 45 years of combined experience across Wollongong and the Illawarra, we understand kitchen renovation costs and will guide you through the renovation process with clarity. We will create a comprehensive budget that accounts for all potential hidden costs, so you know exactly what your dream kitchen will cost.

Ready to start renovating a kitchen you will love? Book a building consultation today.

FAQs

What is the most expensive part of a kitchen renovation?

It depends on the choices made during planning. Custom cabinetry or a natural stone benchtop may be the costliest, while in older homes, replumbing or rewiring becomes the biggest expense.

What is the rough cost of a kitchen renovation?

Kitchen renovation costs range significantly depending on the scope and materials used. A mid-range kitchen renovation in the Illawarra Region typically sits between $28,000 and $45,000, while high-end builds with premium finishes sit well above that.

What is a good budget for a kitchen renovation?

According to the HIA Kitchens and Bathrooms survey, standard kitchen renovation costs range from $20,000 to $40,000. This gives enough room for design changes, delays, and hidden costs that arise during the renovation process.

Can you do a kitchen for $5,000?

A $5,000 budget limits you to cosmetic updates rather than a full kitchen remodel, but it can still make a noticeable difference. Repainting cabinetry, replacing handles and hinges, updating the splashback, or swapping out an old range hood are all achievable in that range. A complete renovation with new kitchen cabinets and appliances will go beyond that, but an experienced builder can help you work out where your money will have the biggest impact on your dream kitchen.

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