Rising renovation costs and build delays are pushing more buyers toward turnkey townhouses, as renovation fatigue reshapes Australia’s property market.
The Block’s unrealistic home renovation strategy is failing a new generation of Aussie homebuyers who are looking for the finished product instead of the DIY dream.
Property experts say a combination of cost blowouts, timeline uncertainty, and lifestyle shifts are driving a new wave of buyer behaviour, with more house hunters walking away from renovation projects, and paying a premium to move straight into finished homes.
Whitefox director and The Block judge Marty Fox said while the idea of buying a fixer-upper and building equity still appealed emotionally, the reality was far less romantic.
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“Renovating was once the Australian property fairytale, buy the worst house on the best street and manufacture equity,” Mr Fox said.
“But in today’s climate, buyers are time-poor, tradies are booked solid, and uncertainty has a price.”
“Emotion sells, convenience converts, it’s great design (that) always seals the deal.”
Mr Fox said more buyers were bypassing “project” homes entirely, especially in the prestige market, in favour of move-in-ready properties.
“Renovation fatigue is very real,” he said.
“After three years of watching build costs spiral, convenience has never looked more luxurious.
“They’ll pay a premium to skip the delays, decision fatigue, and cost blowouts.”
Whitefox director and Block judge Marty Fox says time-poor buyers are walking away from fixer-uppers and paying a premium for finished homes.
Renovation fatigue is driving buyers to reconsider the “worst house on the best street” strategy as costs and delays spiral out of control.
The Block judge said smart renovating — backed by data and design discipline — still had value, but only when approached with a business mindset.
“Gone are the days of overcapitalising and crossing your fingers,” Mr Fox said.
“If you’re not adding real value in floorplan, function or finish, you’re just spending money.
“The reno dream now comes with a calculator.”
Mr Fox said sustainability features such as solar panels, passive design and Tesla walls were becoming more attractive to prestige buyers, but weren’t the key selling point.
“They’re the cherry on top,” he said.
“What still closes deals is aesthetic, location and execution.”
M R Advocacy director Madeleine Roberts says first-home buyers and families are abandoning renovation projects due to affordability and risk.
Neometro’s 57 Martin St townhouses in Thornbury were designed with sustainability, comfort and functionality in mind, no reno required.
M R Advocacy director Madeleine Roberts said the shift away from renovation projects was even more pronounced among first-home buyers and families already stretched by affordability pressures.
“A few years ago, everyone wanted a ‘renovator’s dream’,” Ms Roberts said.
“Now they’re stretched just to enter the market.
“Spending tens or hundreds of thousands more — with no clear end date — just isn’t viable anymore.”
Ms Roberts said the “fix-it-up-as-you-go” mentality had dropped off sharply post-Covid, with renovation now mostly pursued by well-funded buyers or investors who could afford the risk.
She warned buyers to be cautious when considering off-the-plan purchases, particularly in the current market.
“Due diligence is everything right now,” she said.
“Track record matters, and so does a realistic timeline.
The award-winning townhouses feature passive design, solar infrastructure and landscaped gardens tailored to Melbourne’s changing climate.
“A new build might look attractive on paper, but it doesn’t always make sense as a long-term investment.”
The M R Advocacy director said energy-efficient features such as seven-star ratings or rainwater tanks rarely carried weight in buyer decisions.
“It’s a nice bonus, but it’s not what makes or breaks a deal,” Ms Roberts said.
In outer suburbs, Ms Roberts said house-and-land packages often lacked long-term value due to oversupply, poor build quality and limited capital growth.
“I always recommend established homes in established suburbs,” she said.
“Even owner-occupiers still need to think like investors.”
Once seen as a smart way to build equity, renovation projects now come with stress, uncertainty and limited returns for many buyers.
Neometro director Lochlan Sinclair says buyers are turning to finished, design-led homes to avoid the stress of managing complex renovations.
Developer and Neometro director Lochlan Sinclair, whose Neometro project at 57 Martin St in Thornbury won the 2024 Houses Award, said demand was rising for design-led homes that were ready to move into, particularly among buyers worn down by the renovation process.
“People are tired of managing builds,” Mr Sinclair said.
“They want homes that are sustainable, well-proportioned and finished, without the stress.”
Neometro’s latest project in Brunswick features 24 three-bedroom townhouses with internal-access garages, passive design features, solar infrastructure, recycled water systems and landscaped gardens.
Each 57 Martin Street townhouse includes three bedrooms, private gardens, off-street parking and high-performance insulation and windows.
Winner of the 2024 Houses Award, the project is a leading example of how well-designed, ready-to-live-in homes are reshaping buyer preferences.
“Buyers are becoming more sophisticated,” he said.
“They understand that spending more upfront on better materials pays off in the long run.
“It’s a smarter way to build and live.”
The Neometro director said the firm had refined its townhouse model over four iterations, striking a balance between quality, sustainability and cost-efficiency.
“Developing anything right now is like conducting a symphony, everything has to work in harmony to extract value,” Mr Sinclair said.
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