What Drives Renovation Costs?
Home renovation budgets are shaped by three main variables: the size of the space being renovated, how extensively you are changing it, and the quality of materials you select. A partial renovation — replacing only the kitchen counters or bathroom tiles — can cost a fraction of a full gut renovation. The same floor area can cost anywhere from $200 to $1,500+ per square meter depending on whether you choose budget laminate flooring or hand-laid Italian marble.
Finish Grade Breakdown
Budget-grade renovations use off-the-shelf materials: standard laminate flooring, prefabricated kitchen cabinets, and basic ceramic tiles. These deliver functional results at the lowest price. Mid-range renovations upgrade to engineered hardwood, semi-custom cabinetry, and stone-effect porcelain tiles — the standard you would see in a well-appointed new apartment. Premium renovations use imported materials: solid hardwood, Italian or Spanish tiles, custom-built cabinetry, smart home systems, and designer fixtures. Each step up roughly doubles the per-square-meter cost.
Budgeting for the Unexpected
Even the most carefully planned renovation runs into surprises: hidden water damage, outdated electrical wiring that must be brought up to code, structural issues revealed once walls are opened, or supply chain delays that push up material costs. Experienced contractors universally advise setting aside a contingency fund of 10–20% on top of the quoted project cost. Skipping a contingency reserve is one of the most common causes of renovation projects going significantly over budget.
Frequently Asked Questions
A. Budget renovations typically run $200–400/m², mid-range $400–800/m², and high-end $800–1,500+/m². Costs vary widely by region and contractor.
A. A partial renovation covers specific rooms or trades. A full renovation updates all trades — flooring, walls, kitchen, bathrooms, and lighting.
A. Add 10–20% contingency for surprises, plus temporary accommodation, debris removal, permits, and design fees.