Why are Resales Always More Expensive to Renovate?

You might have noticed it when doing your research. Or got a couple of quotes from designers or contractors you have met. No lie – resale apartments can rack up much more compared to new BTOs or condo units when it comes to renovation costs.

How much more expensive?

The difference becomes even more apparent with condominiums, with average prices for new renovations hovering between $39,800 and $50,600, and resales from $60,000 to $80,000 – that’s a whopping 33% margin!

So, what racks up the costs in resale homes?

1. Dismantling and demolishing works

This component alone can rack up thousands, depending on the scale you are looking at. And if you are thinking of removing floors, tiles and wall coverings on top of carpentry pieces, be prepared to spend even more.

2. Repairs or refurbishing work

Considering someone has lived in the space, day-in-day-out for an extended period of time, wear and tear is inevitable in certain areas. Think clogged pipes, leaking air-con trunking, damaged parquet floors or worse, pest infestations.

Of course, depending on the age of the flat and the previous homeowner’s maintenance habits, some resales will be less troublesome than others. Nevertheless, repairs can add up a hefty sum in any resale renovation. After all, even though you’re buying an old space, you'll want your home to work like new.

3. Unexpected complications

Unlike newly-built homes where the house layout and details are clearly known, things aren’t as straightforward with a resale. The previous owner might have done some renovation works on his/her own, based on his/her needs. But that doesn’t mean those changes would benefit you!

Likewise, older properties such as these might have certain features that are hard to find in today’s market (e.g. traditional 3/4 length shutter windows), which could potentially cost more to procure and install.

5. Resales are (usually) larger than new ones

How does that all pan out for your renovation? More areas to work on equate to more costs incurred as well.

6. And... you’ve still got to build up from scratch

Design Tricks to Help You Save on Your Resale Renovation

Have less built-ins

As they say – ‘if it ain’t broke, don’t fix it’. If that parquet flooring or ceramic tiling looks decent and not too worn, keep it. Perhaps spend a little on repairing certain cracks or polishing things up, but you’ll save a lot on having to re-do everything again.

Build features that last

Good design is also about knowing what your priorities are. Are you planning to stay for the long term, or moving out in a couple of years? Based on that, determine the extent of works you require. If this isn’t your forever home just yet, perhaps consider skimping out on that luxurious (but pricey) marbled countertop, or major structural works which could add up to a sum.

*Note: All renovation costs listed do not include furniture and appliances.

This article was originally published on 4 Dec 2018 and last updated on 14 Mar 2023.