Knockdown-Rebuild vs Renovate in Brisbane & Gold Coast: Choose the Smarter Path for Your Block and Budget

January 19, 2026

You love your location. The street, the neighbours, the school zone—it all works. But your house? Not so much.

You love your location. The street, the neighbours, the school zone—it all works. But your house? Not so much.

Maybe it's too small, poorly laid out, or stuck in a time warp. Maybe you've outgrown it, or it simply doesn't reflect how you want to live anymore. So you start thinking: renovation. A fresh kitchen, an extra bedroom, maybe even a second storey. It sounds like the logical next step.

But here's the question most Queensland homeowners don't ask early enough: is renovating actually the smarter move—or are you about to spend a fortune patching up a home that will never truly be yours?


If you're considering a major renovation—adding a storey, extending out the back, putting in a pool, gutting the interior, rewiring, replumbing, re-everything—then you owe it to yourself to explore the alternative: a knockdown-rebuild (KDR).


Not every renovation should become a knockdown-rebuild. But when the scope, cost, and compromise start to stack up, a KDR often delivers a better home, better value, and a better long-term outcome—especially in South-East Queensland, where land is expensive and every square metre counts.

In this guide, we'll walk you through the real costs, the hidden trade-offs, the approval hurdles, and the structural realities that separate a smart renovation from a smarter rebuild. By the end, you'll know exactly which path makes sense for your block, your budget, and your future.


When Does a Renovation Make Sense?

Let's be clear from the start: renovations absolutely have their place.


If you're refreshing a tired kitchen, repainting, replacing flooring, updating a bathroom, or making cosmetic improvements that don't touch the bones of the house, then a renovation is usually the right call. It's faster, less disruptive, and you can often stay living in the home while the work happens.

Renovations also make sense when:


  • The existing structure is sound, well-built, and suits your layout needs
  • You're only updating finishes, fixtures, or non-structural elements
  • The home already has good energy performance, ceiling heights, and natural light
  • Council approvals are straightforward and the work doesn't trigger major compliance upgrades
  • You're happy with the floor plan and how the home functions day-to-day


In these scenarios, a well-executed renovation can add value, improve liveability, and give you a refreshed home without the upheaval of a full rebuild.

But when the scope creeps beyond cosmetic—when you start talking about adding a second storey, moving walls, extending foundations, replumbing, rewiring, adding a pool, and essentially rebuilding the interior—that's when the equation changes.

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The Hidden Costs and Compromises of Major Renovations

Here's what most homeowners don't realise until they're halfway through the process: major renovations are expensive, disruptive, and full of compromise.

Structural Capacity and Engineering Realities

Older Queensland homes—especially those built before the 1980s—were designed for a different era. Timber frames, stumps, and pier-and-beam construction were built to carry the load of a single-storey home, not a two-storey extension.

If you want to add a second storey, you'll need a structural engineer to assess whether the existing frame and footings can handle the additional load. In many cases, they can't—at least not without significant (and expensive) reinforcement.

You might need to:

  • Underpin or replace existing stumps and footings
  • Strengthen or replace floor joists and bearers
  • Install steel beams and posts to carry the new load
  • Brace the existing structure to meet current wind and cyclone ratings

All of this adds cost, time, and complexity. And even after all that work, you're still building on top of an old structure—one that may have settling, termite damage, or other issues that won't be fully visible until you start pulling things apart.

Compliance Upgrades and Approval Hurdles

When you renovate, you don't just pay for the new work—you often have to bring the entire home up to current building codes.

This can include:

  • Upgrading electrical wiring to meet current safety standards
  • Replacing old plumbing (especially if you have galvanised steel or lead pipes)
  • Installing smoke alarms, safety switches, and compliant balustrades
  • Meeting current energy efficiency requirements (insulation, glazing, shading)
  • Ensuring the home meets Queensland pool safety regulations if you're adding a pool
  • Complying with bushfire attack level (BAL) ratings if your area has been rezoned

These "hidden" compliance costs can add tens of thousands of dollars to a renovation budget—costs that don't improve the look or feel of your home, but are legally required once you trigger a development application.

Layout Limitations and Design Compromise

When you renovate, you're working within the constraints of the existing structure. That means:

  • Room sizes are dictated by where the old walls were
  • Ceiling heights are locked in (unless you're lifting the roof, which is another major cost)
  • Window and door positions are limited by the existing frame
  • Plumbing and electrical runs are constrained by what's already there
  • The orientation of the home—how it faces the sun, captures breezes, and connects to outdoor spaces—can't be changed

You end up designing around the old house, rather than designing the home you actually want.

And if you're adding a second storey, you'll need to factor in stair placement, which eats into your ground-floor layout and often forces compromises in both levels.

Living Through the Renovation

Major renovations are disruptive. Depending on the scope, you may need to move out for weeks or even months. If you try to stay, you'll be living in dust, noise, and chaos—sharing your home with tradies, tools, and temporary barriers.

There's also the risk of cost blowouts and delays. Once walls come down, it's common to discover issues that weren't visible during the quote stage: rotted timber, asbestos, poor drainage, electrical faults, or structural damage. Each discovery adds time and money to the project.

Resale Value and Market Perception

Here's an uncomfortable truth: the market doesn't always reward renovations the way you'd hope.

A renovated older home—especially one with a mix of old and new, varying ceiling heights, awkward additions, and a patchwork of materials—can struggle to compete with a brand-new, cohesive, energy-efficient home on the same street.

Buyers notice:

  • Mismatched finishes and materials
  • Older sections that still feel dated
  • Poor energy performance (hot in summer, cold in winter)
  • Lack of storage, awkward layouts, and low ceilings
  • Maintenance concerns with the older parts of the structure

Even if you spend $300,000 or $400,000 on a major renovation, you may not see that value reflected in the sale price—especially if the home still feels old.

When a Knockdown-Rebuild Becomes the Smarter Choice

So when does a knockdown-rebuild make more sense than a major renovation?

When the scope, cost, and compromise of renovating start to outweigh the benefits of starting fresh.

If you're seriously considering:

  • Adding a second storey
  • Extending the footprint significantly
  • Completely gutting and replumbing/rewiring the interior
  • Adding a pool and outdoor entertaining area
  • Reconfiguring the layout to suit how you actually live
  • Bringing the home up to modern energy efficiency and comfort standards

…then a knockdown-rebuild deserves a proper look.

Here's why.

You Get the Home You Actually Want

With a KDR, you're not designing around the limitations of an old structure. You're starting with a blank canvas.

That means:

  • Custom floor plans designed around your lifestyle, routines, and how you use space
  • Optimal orientation to capture breezes, natural light, and views
  • Modern ceiling heights (2.7m or higher) that make spaces feel open and comfortable
  • Energy-efficient design from the ground up—proper insulation, smart glazing, shading, and ventilation
  • Seamless indoor-outdoor flow with decks, alfresco areas, and pool integration designed as part of the whole home
  • Future-proofed layouts that work for your family now and adapt as your needs change

You're not compromising. You're building the home that suits your block, your budget, and your life.

Transparent, Predictable Costs

With a knockdown-rebuild, you know what you're getting—and what it costs—before you start.

There are no hidden surprises behind the walls. No unexpected structural issues. No mid-project cost blowouts because the engineer found something that needs fixing.

You get:

  • A fixed-price contract with clear inclusions
  • Detailed plans, engineering, and energy reports before construction begins
  • Transparent allowances for selections (tiles, tapware, appliances, etc.)
  • A realistic timeline with defined stages and milestones

Yes, there are costs involved in demolition and site preparation. But these are known, budgeted, and factored into the overall project cost from day one.

And because you're building new, you're not paying to bring an old home up to code—you're simply building to current standards from the start, which is often more cost-effective than retrofitting compliance into an existing structure.

Better Energy Performance and Lower Running Costs

Older Queensland homes were built before energy efficiency was a priority. That means poor insulation, single-glazed windows, dark roof colours, and layouts that trap heat and block airflow.

A knockdown-rebuild lets you design for comfort and efficiency from the ground up:

  • NatHERS-rated energy performance (minimum 7 stars in Queensland, but often higher)
  • White COLORBOND® roofs to reflect heat and reduce cooling loads
  • Proper insulation in walls, ceilings, and floors
  • Smart glazing and shading to control heat gain and maximise natural light
  • Cross-ventilation and ceiling fans to reduce reliance on air conditioning
  • Efficient hot water, lighting, and appliances that lower your energy bills year after year

The result? A home that's comfortable in Queensland's climate, cheaper to run, and better for the environment.

Structural Integrity and Low Maintenance

When you build new, you're using modern materials and construction methods that are designed to last:

  • BlueScope TRUECORE® steel framing for strength, durability, and termite resistance
  • Engineered footings and slabs designed specifically for your soil type and site conditions
  • Low-maintenance claddings that won't rot, warp, or require constant repainting
  • Modern plumbing and electrical systems with warranties and compliance certification
  • Queensland pool safety compliance built in from the start (if you're adding a pool)

You're not inheriting someone else's maintenance headaches. You're starting with a home that's built to modern standards, backed by warranties, and covered by QBCC home warranty insurance.

Resale Value and Market Appeal

A brand-new, custom-designed home on an established block is one of the most desirable products in the South-East Queensland market.

Buyers love:

  • The character and location of an established suburb
  • The certainty and quality of a new build
  • Modern layouts, finishes, and energy performance
  • Low maintenance and move-in-ready appeal
  • The ability to enjoy the home without immediate repairs or upgrades

A well-designed knockdown-rebuild often achieves a higher sale price—and sells faster—than a heavily renovated older home on the same street.

And if you're planning to stay long-term, you get to enjoy all those benefits yourself: a home that works for you, costs less to run, and requires minimal upkeep for decades.

The Real Cost Comparison: Renovation vs Knockdown-Rebuild

Let's talk numbers.

It's a common misconception that renovating is always cheaper than rebuilding. In reality, major renovations often cost as much—or more—than a knockdown-rebuild, especially once you factor in structural upgrades, compliance costs, and the compromises you're forced to accept.

Here's a realistic scenario:

Major Renovation Scenario

  • Second-storey addition: $200,000–$300,000+
  • Structural reinforcement and engineering: $30,000–$60,000
  • Ground-floor reconfiguration and internal renovation: $100,000–$150,000
  • Electrical and plumbing upgrades to meet code: $20,000–$40,000
  • New pool and landscaping: $60,000–$100,000
  • Compliance, approvals, and unexpected issues: $20,000–$50,000

Total: $430,000–$700,000+

And at the end, you still have:

  • An older structure underneath
  • Compromised layout and ceiling heights
  • Mismatched materials and finishes
  • Potential maintenance issues in the older sections
  • Limited resale appeal compared to a new home

Knockdown-Rebuild Scenario

  • Demolition and site preparation: $15,000–$25,000
  • New custom home (200–250m²): $400,000–$600,000
  • Pool and landscaping: $60,000–$100,000
  • Approvals, engineering, and energy reports: $15,000–$25,000

Total: $490,000–$750,000

For a similar overall investment, you get:

  • A brand-new home designed exactly how you want it
  • Modern energy performance and comfort
  • No structural compromises or hidden issues
  • Full warranties and QBCC insurance
  • Higher resale value and market appeal

The numbers speak for themselves. When the renovation scope is large enough, a knockdown-rebuild often delivers better value, better quality, and a better long-term outcome.

Approvals, Timelines, and What to Expect

One concern many homeowners have about knockdown-rebuilds is the approval process. Will it take longer? Is it more complicated?

The short answer: not necessarily.

Development Approvals

Both major renovations and knockdown-rebuilds require development approval from your local council (Brisbane City Council, Gold Coast City Council, Logan City Council, etc.).

The approval process considers:

  • Setbacks and site coverage
  • Building height and overshadowing
  • Privacy and overlooking
  • Stormwater and drainage
  • Character and streetscape (in some areas)
  • Bushfire and flood overlays (if applicable)

In many cases, a knockdown-rebuild is easier to approve than a complex renovation, because you're designing the entire home to meet current planning scheme requirements from the start—rather than trying to retrofit compliance into an existing structure.

Timelines

A typical knockdown-rebuild timeline in South-East Queensland looks like this:

  1. Initial consultation and feasibility (1–2 weeks)
  2. Design and documentation (6–12 weeks)
  3. Development and building approvals (6–12 weeks)
  4. Demolition (1–2 weeks)
  5. Construction (20–30 weeks)
  6. Handover and final inspections (1–2 weeks)

Total: 9–14 months from start to finish.

A major renovation can take just as long—or longer—especially if structural issues or compliance upgrades are discovered mid-project.

The key difference? With a knockdown-rebuild, the timeline is predictable. With a renovation, delays and surprises are common.

What About Emotional Attachment?

We understand that letting go of your existing home can be emotional—especially if you've raised your family there, or if the house has sentimental value.

But here's what we've learned from working with hundreds of Queensland families over 30 years: the memories aren't in the walls. They're in the moments, the people, and the life you've built.

A knockdown-rebuild lets you stay in the location you love—the street, the community, the lifestyle—while creating a home that better supports the next chapter of your life.

And for many families, the excitement of designing a custom home that truly reflects who they are now far outweighs the attachment to a structure that no longer serves them.

How Homes by Markon Approaches Knockdown-Rebuilds

At Homes by Markon, we've been building custom homes across South-East Queensland for over 30 years. We've worked on hundreds of knockdown-rebuild projects, and we understand the unique challenges and opportunities that come with building on an established block.

Here's how we approach every KDR project:

1. Feasibility and Site Assessment

Before you commit to anything, we assess your block, your budget, and your goals. We look at:

  • Site constraints (setbacks, easements, overlays, services)
  • Soil conditions and engineering requirements
  • Council planning scheme and approval likelihood
  • Your budget and what's realistically achievable
  • Your lifestyle, routines, and design priorities

This feasibility stage is about giving you honest, transparent advice—so you can make an informed decision about whether a knockdown-rebuild is the right path for you.

2. Custom Design and Collaboration

If you decide to move forward, we work with you to design a home that's tailored to your block, your lifestyle, and your vision.

We don't start with a catalogue plan and try to make it fit. We start with you—how you live, how you move through your day, what matters most—and design a home around that.

Every detail is considered:

  • Room sizes, ceiling heights, and natural light
  • Indoor-outdoor flow and connection to your yard
  • Energy performance, orientation, and comfort
  • Storage, functionality, and future flexibility
  • Materials, finishes, and long-term durability

You're involved at every stage, and we don't move forward until you're confident and excited about the design.

3. Transparent Pricing and Inclusions

Once the design is locked in, we provide a detailed, fixed-price contract with clear inclusions and realistic allowances.

No smoke and mirrors. No hidden costs. Just honest, transparent pricing that reflects the quality and detail of the home we're building together.

4. Quality Construction and Communication

During construction, we keep you informed at every stage. You'll know what's happening, when it's happening, and who's responsible.

We use quality materials—BlueScope TRUECORE® steel framing, white COLORBOND® roofs, low-maintenance claddings, and energy-efficient fixtures—and we build to last.

Our team conducts quality checks at every stage, and we work closely with engineers, certifiers, and inspectors to ensure everything meets (or exceeds) Queensland building standards.

5. Thorough Handover and Warranty Support

When your home is complete, we walk you through every detail: how systems work, where shut-offs are, what's covered under warranty, and how to care for your new home.

You'll receive:

  • Full documentation and compliance certificates
  • QBCC home warranty insurance
  • Manufacturer warranties on materials and fixtures
  • Ongoing support for any questions or minor adjustments

We're not just handing you the keys and walking away. We're here to make sure you're confident, comfortable, and ready to enjoy your new home.

Real Questions from Real Homeowners

Over the years, we've had hundreds of conversations with Queensland homeowners weighing up renovation vs knockdown-rebuild. Here are some of the most common questions—and our honest answers.

"Will I have to move out during the build?"

Yes. A knockdown-rebuild requires full demolition and construction, so you'll need to arrange temporary accommodation—usually for 6–9 months.

Many families rent nearby, stay with family, or use the opportunity to travel. It's disruptive, but it's temporary—and the result is a brand-new home that's worth the wait.

"What happens to my existing mortgage?"

Most lenders offer construction loan products that let you roll your existing mortgage and the new build cost into one loan. Your mortgage broker or bank can walk you through the options and structure a solution that works for your situation.

"Can I keep any part of the existing house?"

In most cases, no. A knockdown-rebuild means demolishing the existing structure and starting fresh. However, if there's a detached garage, shed, or other outbuilding that's in good condition and meets current codes, it may be possible to retain it—subject to council approval and engineering assessment.

"How do I know if my block is suitable for a knockdown-rebuild?"

Most established residential blocks in South-East Queensland are suitable for a knockdown-rebuild, but every site is different. Factors we assess include:

  • Lot size, shape, and orientation
  • Setback and height restrictions
  • Easements, services, and access
  • Soil type and slope
  • Flood, bushfire, or other overlays

We offer a free feasibility assessment to help you understand what's possible on your block.

"What if I love my location but my house is too small?"

That's one of the most common reasons homeowners choose a knockdown-rebuild. Land in Brisbane and the Gold Coast is expensive—and often, the best way to get the space you need is to rebuild on the block you already own, in the location you already love.

A knockdown-rebuild lets you maximise your land, design a home that suits your family, and stay in the community that matters to you.

The Bottom Line: When Should You Consider a Knockdown-Rebuild?

Here's the honest truth: not every renovation should become a knockdown-rebuild.

If you're refreshing finishes, updating a kitchen, or making minor improvements, a renovation is usually the right call.

But if you're seriously considering:

  • Adding a second storey
  • Extending the footprint significantly
  • Completely reconfiguring the layout
  • Replumbing, rewiring, and bringing the home up to code
  • Adding a pool and outdoor entertaining area
  • Spending $400,000+ on a major renovation

…then you owe it to yourself to explore a knockdown-rebuild.

Because for a similar investment—and often less compromise—you can have a brand-new, custom-designed home that:

  • Suits your lifestyle, block, and budget
  • Delivers modern comfort, energy performance, and low maintenance
  • Holds its value and appeals to future buyers
  • Gives you the home you actually want, not the home you're forced to accept

At Homes by Markon, we're not here to push you toward a knockdown-rebuild if it's not the right fit. We're here to give you honest, transparent advice—so you can make the best decision for your family and your future.

Ready to Explore Your Options?

If you're weighing up renovation vs knockdown-rebuild, the first step is understanding what's possible on your block—and what it will realistically cost.

We offer a free feasibility assessment for homeowners across Brisbane, the Gold Coast, and South-East Queensland. We'll assess your site, discuss your goals, and give you honest advice about whether a knockdown-rebuild makes sense for you.

No pressure. No obligation. Just clear, practical guidance from a builder who's been doing this for over 30 years.

Contact Homes by Markon today:

πŸ“ Location: 20–24 Commerce Drive, Browns Plains, Brisbane
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Phone: +61 7 3153 2000
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Website: www.markongroup.com.au
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Email: info@homesbymarkon.com.au

Let's explore what's possible—and help you choose the smarter path for your block and budget.

Homes by Markon | Building Futures | Spaces That Matter
Custom homes and knockdown-rebuilds across South-East Queensland for over 30 years.

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