How much does it cost to renovate a property?
Most investors want to know: “How much does it cost to renovate a property?”
Most property investors will spend significantly less when renovating a rental property compared to a Kiwi renovating their own home.
And the numbers in this article will probably surprise you.
That’s because to get the best returns you must balance the cost with the return you’ll get.
The investors I coach typically spend $60k-$80k on a renovation. And these days, you shouldn’t expect to pay any less than $50k.
That’s the cost to Cashflow Hack a property – my 6-step approach to turbocharging any BRRRR project. In this article, you’ll learn the ballpark costs for each step.
Listen to the podcast below with Ilse Wolfe talking about how much a renovation costs
#1 – Adding a bedroom
Cost range: $8,000 to $60,000 depending on complexity
A simple conversion (dining room → bedroom) may cost $8k–$10k and take a few weeks
More complex work—moving walls, adding windows or doors, structural changes - pushes up cost and may require council consents
#2 – Turning your property into a multi-income rental
Transforming a property into multiple income units or room-by-room rentals is often the most expensive step
Cost: $200,000–$250,000
Timeline: Up to a year
Many investors skip this step in their first round of renovation because of high cost and regulatory complexity
#3 – Re-doing the kitchen and bathroom
Kitchen: $6,000 to $15,000 (if you keep layout, reuse cabinets, and avoid major plumbing changes)
Bathroom: $10,000 to $12,000 typical
You’ll pay mostly for trades (builder, plumber, electrician) plus materials
Budget a contingency buffer for hidden issues behind walls, wiring, or plumbing
#4 – Upgrading fittings and fixtures
Replacing or upgrading door knobs, switches, lights, and small finishes
Labour costs can add up quickly (electricians often charge ~$100/hr)
Typical budget: $1,000–$4,000
You can reduce labour by doing small tasks yourself
#5 – Repainting internal walls
Full internal repainting: $10,000 to $20,000
Simpler paint-wash: $6,000–$7,000
Additional cost for trim, doors, or textured walls
Wallpaper removal, patched walls or difficult surfaces can push costs higher
#6 – New (or revamped) flooring
Priced per square metre; cost depends on size and materials
Current estimates: $8,000–$9,000 for vinyl or carpet covering
Hardwood floors may require sanding, polishing (comparable cost)
In some cases, cleaning or repairing existing floors is cheaper than full replacement
So … how much does it cost to renovate a property?
All things considered, $65k is usually the sweet spot for a full Cashflow Hack. However, this will, of course, vary.
Typically Wolfe Property clients spend $60k-$80k.
Some people will look at that cost and think it’s on the low side.
But remember, it’s about improving rental properties through cost-effective and durable renovations. It’s not about turning your rental property into a dream home.
Key Takeaways
Renovating an investment property typically costs $50,000 to $80,000, depending on scope and quality.
Adding or converting a bedroom is highly variable - simple conversions are low cost; structural or consented work is expensive.
Kitchen and bathroom upgrades offer strong value lift, but avoid changing layout unless you have capital.
Fixtures, paint, and flooring can accumulate into substantial costs if not carefully priced.
Always plan for contingencies and unexpected repairs behind walls.
A well-executed renovation should be efficient, durable, and yield-focused - not a luxury makeover.
