Determining renovation value involves understanding current buyer preferences and market conditions. As of December 2025, renovations that enhance liveability and presentation generally yield the strongest return when selling a property in Melbourne.
Currently in Melbourne, particularly within the Eastern Suburbs where Fletchers has a long history, buyers favour properties that feel modern and move-in ready. In 2026, we anticipate this will continue. Kitchen and bathroom updates consistently demonstrate a positive impact, with typical costs ranging from $20,000 to $50,000 depending on the scope. However, it’s not always about complete overhauls. Updating fixtures, appliances, and benchtops can be highly effective. Increasing natural light – through skylights or larger windows – is also a strong performer, aligning with buyer priorities. Presentation is key; professional styling (typically $2,000 – $8,000) can significantly influence perceived value. It’s important to realise that over-capitalising on renovations doesn’t always guarantee a proportional return. Fletchers’ appraisal process considers local sales data to advise on renovations that align with neighbourhood expectations and maximise potential sale price. The sales process in 2026 will likely continue with a typical campaign length of 4-6 weeks, with buyers conducting due diligence during a 2-4 week inspection period.
Ultimately, renovations that improve a property’s appeal to families and enhance its functionality are most likely to add value in the Melbourne market in 2026.