Another spring, another season of ‘The Block’. It’s bound to inspire plenty of home owners to launch a renovation project of their own – but there are several key pitfalls the show doesn’t address.

It’s easy to see why The Block is one of our longest-running reality shows. The program combines the transformative power of quality renovations with the highs and lows of home improvements – and of course, plenty of human drama.

But what works on the small screen doesn’t always work in real life. 

There is no doubt that a quality, professionally completed renovation can add value to a home and the owners’ lifestyle. 

However, in many cases, home owners can often get a better result by selling their home unrenovated, and buying a property that offers everything they want, without the stress, drama and expense of a major renovation project. 

We look at why it’s worth going into a renovation project with your eyes wide open because there is plenty that The Block doesn’t address. 

Renovating is not a quick process

Season 20 of The Block runs for about 12 weeks. That’s just a fraction of the time it can take for a renovation to be completed. And a large chunk of the time can be taken up getting approval for the works involved.

As a guide, Planning NSW says that home owners can expect to wait about 106 days for a development application (DA) to be approved though this can blow out to 281 days[1].

By contrast, CoreLogic[2] reports that the median selling time for Perth homes was just 10 days in the three months to July. In Adelaide, homes are selling in just 28 days.

The upshot is that selling up and buying a new home can see you achieve your goals a lot sooner.

The risk of overcapitalising 

Renovating is not a cheap process. Sure, there may be aspects you can tackle yourself to save, but it can prove to be false economy. The best results come from using skilled licensed tradespeople, which adds to the cost.

With major projects such as a new bathroom potentially costing $35,000-plus[3], home owners need to be sure their renovations will deliver a decent uplift in their home’s value. 

This doesn’t always happen. A key risk of renovating is overcapitalising. That’s when the cost of the project outweighs the value it adds to your home.

This is a risk that not even The Block has managed to bypass. A number of ‘Block’ homes have failed to sell on auction day. One in five have lost value post-show once all the hype has died down[4]. 

This highlights how reality shows aren’t always in touch with the reality of the property market or buyer preferences. The upshot is that if you’re thinking of renovating to talk to your local Raine & Horne office for informed tips on what buyers in the area are looking for, and which renovations could result in overcapitalising.

Chances are your Raine & Horne property expert can also show you properties listed for sale that meet your needs without the hassle of renovating. It could see you rethink your plans entirely.

The bottom line is that it can often be cheaper, less stressful and more rewarding – emotionally and financially – to sell, and buy a new home, than to spend more money on your old place.

If you're considering renovating or selling, reach out to your local Raine & Horne sales agent today.

 
[1] https://www.planning.nsw.gov.au/policy-and-legislation/housing/housing-supply-insights/quarterly-insights-monitor-q4/development-assessment-pathways
[2] https://www.corelogic.com.au/news-research/news/2024/whats-in-store-for-the-spring-selling-season
[3] https://hipages.com.au/article/renovation_guide_how_much_does_it_cost_to_renovate
[4] https://www.realestate.com.au/news/the-block-one-in-five-homes-lose-value-postshow-including-those-in-gatwick-and-former-seedy-hotel/