Grace Patane, Founder & Interior Design Director
Posted 19th August - 2026
Why so many homeowners are feeling stuck
Over the past twelve months, I’ve noticed a significant shift in the conversations we’re having with homeowners wanting to rebuild or renovate.
Not long ago, people would come to us focused almost entirely on the outcome. They wanted a larger kitchen, more space for a growing family, a better connection to the outdoors or simply a home that reflected the way they wanted to live. Whilst budget was always part of the discussion, it wasn’t usually the thing driving every conversation.
Today feels different.
More often than not, clients arrive carrying some level of uncertainty. They’re unsure whether construction costs have stabilised, they’re worried about making the wrong decision, and many are questioning whether now is the right time to renovate, rebuild or even stay where they are.
It’s understandable. Building↗︎ or renovating↗︎ a home is one of the largest investments most families will ever make, and the headlines over recent years haven’t exactly inspired confidence.
What I find interesting, however, is that many homeowners spend an enormous amount of energy worrying about risks they can’t control, whilst giving far less attention to the risks that sit directly in front of them.
Interest rates will move when they move. Construction costs will continue to fluctuate. Governments will change policies. Markets will rise and fall. None of us can influence those things.
What we can influence is how well prepared we are before making a major decision.
Most project risks are created before construction begins
When homeowners think about risk, it’s usually construction-related concerns that come to mind.
Will the build cost more than expected?
Will there be delays?
Will the market change?
Will we choose the right builder?
They’re all valid concerns, but in my experience they’re rarely the starting point of a problem.
The biggest risks are often created much earlier, when important decisions are made without enough information, assumptions go untested, or homeowners become attached to a particular solution before they’ve properly explored whether it’s the right one.
By the time construction starts, many of the most significant project decisions have already been made.
That’s why the planning phase isn’t simply about creating drawings. It’s about gaining enough clarity to move forward confidently and understanding the implications of decisions before they become expensive to change.
Why this homeowner lost control of their project
About a year ago, we met with a homeowner who was exploring options for their property. Like many people, they were considering different pathways and ultimately decided to proceed with a more traditional model, engaging an architect independently and completing the design before approaching builders for pricing.
Nearly twelve months later, they came back to see us.
The project had progressed through design and documentation and was now priced for construction. The problem wasn’t that the project had come back slightly over budget.
It was approximately $700,000 above where the client had expected it to be.
Naturally, this created an enormous amount of stress because by that stage they had invested significant time, money and emotional energy into the design. They weren’t questioning whether they liked the design. They were questioning whether they could build it at all.
As we worked through the documentation, what became apparent wasn’t one catastrophic mistake. Rather, it was a combination of design decisions that had never really been tested against cost, buildability, functionality and long-term practicality.
There were aspects of the home that were larger than they needed to be, decisions that introduced unnecessary complexity. There were site-related considerations that, in our opinion, required much closer investigation due to potential flood implications. There were also elements of the internal planning that looked resolved on paper but didn’t necessarily support the way the family would live in the home. None of these issues were impossible to solve.
The challenge was that the project had progressed so far before these conversations had taken place.
Why redesign is sometimes the smarter financial decision
We also discussed whether it was worth revisiting parts of the design. The client had already invested heavily in the process and, understandably, was reluctant to spend more money on redesign fees when they felt they should have been moving towards construction.
From my perspective, a targeted redesign wasn’t about spending more money, it was about saving money and ensuring the project was working as hard as it could before construction began. While there would have been some additional upfront investment, the opportunity to reduce construction costs, improve functionality and resolve potential issues before they reached site could have delivered far greater value.
In many cases, it’s this willingness to step back and reassess that allows homeowners to regain control of a project before making one of the largest financial commitments they’ll ever make.
Why we believe design and cost integration matters
One of the misconceptions I see is that design and budget are two separate conversations. Our process↗︎ is designed to create alignment between design, budget and construction from the outset. Rather than treating cost as a conversation that happens once the design is complete, we continuously test the project as it develops, providing visibility around how decisions impact investment, complexity and overall project outcomes.
Design shouldn’t exist in isolation from costing, construction and real-world building experience. Likewise, construction shouldn’t happen without a deep understanding of design intent.
Good design isn’t just about creating a beautiful outcome; it’s about creating a solution that is achievable, appropriate for the site↗︎ and aligned with the client’s goals. That requires design professionals to continually assess the impact of key decisions and raise concerns when a project appears to be heading beyond its intended parameters.
When that discipline is applied throughout the process, homeowners can make informed decisions along the way rather than being confronted with a significant budget gap at the end.
In an uncertain market, clarity matters
There is rarely a perfect time to renovate↗︎ or build↗︎. Market conditions will change, interest rates will move, and construction costs will continue to fluctuate, regardless of when you decide to start. The homeowners who achieve the best outcomes are not necessarily those who timed the market perfectly, but those who took the time to understand their options, test their assumptions and make informed decisions before committing significant money to a project.
A well-planned project provides confidence because decisions have been considered, risks have been identified and expectations are aligned from the outset. In a market where uncertainty feels unavoidable, that level of preparation can be one of the most valuable investments a homeowner makes.
What homeowners can control in an uncertain market
- Understanding project feasibility before committing
- Testing design decisions against budget throughout the design process
- Investigating site constraints early
- Clarifying priorities and non-negotiables
- Choosing a process that provides visibility throughout the journey
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Read MoreQuestions Homeowners Often Ask
What is the biggest risk when renovating or rebuilding?
Many homeowners assume the biggest risks are construction delays, rising costs or changing market conditions. While these factors are important, the most significant risks are often created much earlier.
Projects can become vulnerable when key decisions are made without enough information, site conditions are not fully understood, budgets are not regularly tested, or homeowners become committed to a solution before properly exploring alternatives. By the time construction begins, many of the most important project decisions have already been made.
What should I do if my project comes in over budget?
The first step is to understand why the project is over budget before making assumptions about what needs to change.
In our experience, projects rarely exceed budget because of one major decision. More often, it is the cumulative effect of hundreds of decisions around size, complexity, materials, structure, site works and detailing. The objective should be to identify which decisions are contributing the most cost and determine whether they are delivering enough value to justify the investment.
A thoughtful review process can often reveal opportunities to improve functionality, simplify construction and reduce costs without compromising the overall vision. The earlier these conversations occur, the more flexibility homeowners typically have.
Why do some projects end up significantly over budget?
Projects rarely exceed budget because of a single design decision. More commonly, a project gradually becomes larger, more complex and more ambitious as the design develops.
One of the challenges with traditional procurement models is that many designers do not have the benefit of working alongside an in-house construction team that can continuously validate real-world construction costs. As a result, decisions that appear reasonable in isolation can collectively have a substantial impact on the final build cost.
This does not mean the design is wrong. Rather, it highlights the importance of regularly assessing design decisions against current construction costs, buildability and project objectives throughout the process rather than waiting until the design is complete.
Are renovations riskier than building a new home?
Renovations often involve a different type of risk because there are elements of an existing building that cannot always be fully understood at the outset.
Even with detailed site inspections and documentation, some conditions only become visible once walls, ceilings or floors are opened. Structural deficiencies, water damage, outdated services or previous building work may require remediation that was not apparent during early investigations.
For this reason, homeowners should always allow a reasonable contingency within their renovation budget and work with a team that understands how to identify and minimise these risks as early as possible.
Why is early investigation so important when renovating?
Unlike a new build, a renovation involves working with an existing structure, which means unknowns can directly influence both cost and design outcomes.
Where possible, we look for opportunities to investigate and test areas of the home during the design phase. This may involve exposing certain elements, assessing existing conditions or undertaking further investigations where concerns are identified.
The value of this approach is not simply reducing surprises during construction. It is allowing any discoveries to inform the design itself. Resolving a structural issue or site constraint during design is often far more effective and cost-efficient than trying to redesign a project once construction has already commenced.
Does working with a design and build company reduce risk?
Every project and homeowner is different, however many clients value an approach where design, costing and construction are considered together rather than as separate stages.
When architects, designers and construction professionals collaborate throughout the journey, decisions can be assessed through multiple lenses simultaneously. This creates greater visibility around cost, buildability, site constraints and project objectives before significant resources have been committed.
For homeowners, this often means fewer surprises, more informed decision-making and greater confidence throughout the process.
How can I reduce risk before renovating or building?
The most effective way to reduce risk is to focus on the things you can control.
That means investing time in planning, understanding site constraints, establishing realistic budget expectations, testing assumptions early and continually reviewing decisions as the project develops. It also means being open to challenging ideas, revisiting decisions and refining the design when new information becomes available.
The homeowners who achieve the best outcomes are rarely the ones who perfectly time the market. They are usually the ones who make well-informed decisions before construction begins.
Is now a good time to renovate or rebuild in Victoria?
There is rarely a perfect time to build or renovate. Construction costs will continue to fluctuate, interest rates will change and market conditions will evolve regardless of when a project starts.
What matters most is whether you have enough clarity around your goals, budget, feasibility and project pathway to make a confident decision. In an uncertain market, confidence is rarely created by certainty. It is created through preparation, investigation and informed decision-making.
Should design and budget be discussed throughout the project?
Yes. One of the most common misconceptions is that design happens first and budget is assessed afterwards.
In reality, design and budget are intrinsically linked. As a project develops, decisions should be regularly evaluated against construction costs, site conditions and project objectives. This allows adjustments to be made while flexibility still exists, helping homeowners maintain control rather than discovering a significant budget gap at the end of the design process.