How much does a full home renovation cost?

When considering a home renovation, many doubts come to mind: will renovating cost less than building anew? Will the result look the same as a brand-new home? How much will it cost? Here we answer the question: how much will a home renovation cost?

Before starting the renovation, it is essential to estimate the total cost so you can decide whether you can take on an investment of this kind and avoid unwanted surprises.

Sometimes clients come to us rather disoriented after seeing the wide price differences between estimates from different professionals. Other times, we see homeowners caught up in works they cannot finish due to poor initial advice.

To make a realistic estimate, you need to understand the particularities of the home and clearly define what kind of renovation you want to carry out. A full renovation is not the same as a surface refurbishment.

The main factors that influence the cost of a renovation are:

Type of property

Scope of the intervention

Condition of the structure

Construction systems and installations

Design and quality of finishes

Location and access

COSTS INVOLVED IN A RENOVATION

The main costs to consider in a renovation are:

Construction budget

Professional fees

Permits

Procedures

Furnishings

1. CONSTRUCTION BUDGET

When undertaking a renovation, the total cost of the works will largely depend on the type of renovation and the condition of the property.

Renovating a flat — where you can barely touch the facade and have to focus on the interior — is not the same as renovating a detached single-family home, where you will need to renew the entire facade, roof and outdoor areas, which will mean a significant outlay.

For this reason, it is more difficult to give an approximate price without knowing the scope of the works, but here are 2-3 examples of how much it can cost.

FLATS

Full renovation keeping the facade and window openings, insulating the entire dwelling, replacing windows and installations and creating a new interior layout. 550-750 €/m².

Renovation keeping the facade, without insulating the dwelling and with a full interior renovation. 400-550 €/m².

Partial renovation, only changing finishes and removing the odd partition wall. 250-450 €/m².

DETACHED HOMES

Full renovation keeping only the structure. 700-1000 €/m².

Interior renovation, keeping most window openings and insulating from the inside. 550-750 €/m².

Partial renovation, only changing finishes and removing the odd partition wall. 250-450 €/m².

* If you also renew exterior areas such as gardens or courtyards, this must be factored in.

When considering a full renovation, and even when you are weighing renovating versus building from scratch, the following figure is worth knowing.

Normally, when we build a home from scratch, the structure accounts for around 30% of the total construction cost. So if you are considering a renovation that only retains the structure, the difference compared with building from scratch is clear: roughly 30%. However, you must also factor in the cost of demolishing all partitions, installations and so on.

Another aspect to bear in mind is that a renovation usually involves more "surprises" during the works, and is more constrained by what you find when you arrive. You must adapt to the existing columns, the slab height, the garage ramp, the orientation of the property, etc.

A good way to avoid spending more than you have available is to set yourself a figure and tell us, the architects, the maximum investment available, so the entire project is geared towards not exceeding that amount.

If the property has a certain historical value, the works become a rehabilitation, which is a far more sensitive intervention. It is essential to hire technicians and a construction company experienced in this kind of work. 2. PROFESSIONAL FEES

For renovations of a certain complexity — those that modify the layout or raise doubts about structural safety — it is essential to hire an architect. Beyond their technical expertise, an architect will deliver a project that prioritises design and quality, and will manage the construction and financial control of the works.

Architect fees depend on the volume of the works and the level of design and involvement required. They are usually a percentage between 5 and 10% of the contract budget.

If you extend the built area of the home, you will also need to hire a Quantity Surveyor or Technical Architect to supervise the works. 3. PERMITS

Just as with new construction, fees and bonds must be paid at the Town Hall.

Planning permission fee: This applies to all works and can range from 3-6% of the construction budget (PEM).

Public way occupation fee. This is required when scaffolding or skips need to occupy public space. The amount will depend on the area and time occupied.

You may also be asked for a bond to cover any damage caused to the public space. It will be returned at the end of the works if there is no damage.

One of the advantages of renovations is the administrative timeline. If the works do not involve extensions, the building licence is usually granted immediately, and you can start the renovation the same day you submit the project to the town hall. For new construction works, town halls take between 3 months and a year to review the project. 4. TAXES

Renovations are generally subject to a 21% VAT. Where structural reinforcement, accessibility improvements, work on the building envelope or extensions are carried out, a reduced rate of 10% applies. 5. FURNISHINGS: FURNITURE AND DECORATION

When we talk about construction cost, this usually includes built-in wardrobes, recessed lighting and sanitary fittings. But it does not include the rest of the furnishings such as the kitchen, bathroom units, hanging lamps, laundry room, curtains, furniture and so on. It is important to check exactly what is and is not included in the builder's budget.

This can represent an average of 25-35% of the initial construction budget, which you will need to set aside so that, once the renovation is finished, you can move in. HOW TO SAVE ON A FULL RENOVATION?

The best way to save on a renovation is to have everything well planned before starting, to avoid surprises during the process. To do so, the following steps are essential:

A solid project lets you plan the renovation, invest in what matters and prevent budget overruns and unexpected costs during the works.

Having quality images of the future home, allowing you to visualise it before it exists and to know the finishes and construction quality the new home will have.

Working with a professional construction company that guarantees the work will be carried out correctly and delivered on time.

Having a "turnkey" budget before starting the works. This will let you know the total investment cost and adjust before the works begin.

Investing in energy efficiency. Insulating the home well and having efficient installations means significant savings on energy bills, recouping the cost in the short to medium term.

Choosing durable, high-quality materials and systems, so that as the years go by, your home stays current and in good condition.

CONCLUSION

After the detailed breakdown of all the costs to consider in a home renovation, here is a final summary.

Construction

Flats (400-750 €/m²)

Detached homes (550-1000 €/m²)

Fees (5-8%) (20-80 €/m²)

Permits (4-6% PEM) (15-50 €/m²)

Furniture: 25-35% (100-350 €/m²)

Taxes 10%-21%

In conclusion, you can carry out a full renovation of your home for a total cost of 450-850 €/m² + VAT if it is a flat or the interior of a single-family home, or you can spend between 600-1100 € + VAT for a complete renovation (interior and exterior) of a single-family home.

Always remember that you will need to set aside between 100-350 €/m² for furnishings (kitchen, furniture, curtains, etc.).

These figures are always indicative and will depend on the type of qualities and finishes, the size of the home, the type of climate-control installation, the size of the outdoor areas, the cost of permits in each town hall and the construction project itself.

A good way to avoid spending more than you have available is to set yourself a maximum investment figure and tell us, the architects, the maximum investment available, so the entire project is geared towards not exceeding that amount.