A knock down rebuild in Australia has two prices. Demolition is the small one: typically $12,000 to $40,000 for a house, with a median around $16,000. The rebuild is the large one: the ABS average cost of a new house was $474,939 in 2024-25, excluding land, and volume builders quote complete knock down rebuild projects at $450,000 to $900,000 or more.
This guide gives the dated, sourced figures for each stage, the extras that catch people out, and the factors that decide whether rebuilding or renovating is the better call for your block. All figures are Australian dollars, with GST treatment stated where the source states it.
The short answer
| Stage | Range | GST | Source and date |
|---|---|---|---|
| House demolition | $12,000 to $40,000, median about $16,000 | Not stated | Airtasker demolition cost guide, 17 August 2024 |
| House demolition | $12,000 to $40,000 | Not stated | Canstar quoting G.J. Gardner Homes, 26 June 2025 |
| House demolition | $15,000 to $40,000 | Not stated | Simonds knockdown rebuild guide, 10 June 2026 |
| Rebuild: ABS average new house, 2024-25 | $474,939 national; $389,949 SA to $645,052 ACT | Included | ABS Building Activity, released 8 April 2026 |
| Rebuild: ABS average house approval, 2025-26 | $517,430 | Included | ABS Building Approvals, released 30 July 2026 |
| Rebuild construction, volume builder | $300,000 to $600,000+ | Not stated | Simonds, 10 June 2026 |
| Complete knock down rebuild project | $450,000 to $900,000+ | Not stated | Simonds, 10 June 2026 |
Sources: Airtasker, Demolition cost guide, 17 August 2024; Canstar, Knock down rebuild costs, 26 June 2025; Simonds, Ultimate guide for knockdown rebuild costs, 10 June 2026; ABS Building Activity, December 2025; ABS, Dwelling approvals rise in June 2026. Checked 7 October 2026.
ABS values include GST and exclude land, demolition and landscaping. The approvals figure includes site preparation. The ABS national average includes every builder, region and finish, so it sits at the project-home end; a custom design will cost more. Our cost to build a house guide has the per-square-metre ranges by build quality and city.
Demolition cost by city
Airtasker's August 2024 guide gives these ranges for demolishing a house, roughly $80 per m2:
| City | Range |
|---|---|
| Sydney | $11,000 to $17,500 |
| Melbourne | $11,500 to $16,500 |
| Brisbane | $10,000 to $15,000 |
| Adelaide | $9,400 to $14,200 |
| Hobart | $8,000 to $12,000 |
Demolition price depends on the size of the house, whether it is brick or timber, whether the slab and footings are removed, tree removal, access for machinery, tip distances and disposal fees, and disconnection of power, water, sewer, gas and telecommunications.
Asbestos: the extra that moves the number
Houses built before 1990 commonly contain asbestos in roofing, eaves, wet-area linings and external cladding. Removal is licensed work and is priced per square metre and by element.
| Item | Range | Source and date |
|---|---|---|
| Asbestos removal, per m2 | $30 to $150, varying by state | Airtasker, 15 December 2023 |
| Asbestos roof removal | $3,500 to $5,500 | Airtasker, December 2023; same range quoted from hipages by Canstar, June 2025 |
| External asbestos cladding | $4,000 to $6,000 | Canstar quoting hipages, June 2025; Airtasker, December 2023 |
| Internal cladding, single room | $1,000 to $1,500 | Canstar quoting hipages, June 2025 |
| Eaves, whole perimeter | $1,500 to $2,500 | Airtasker, December 2023 |
Source: Airtasker, Asbestos removal cost, 15 December 2023. Get an asbestos survey before you accept a demolition quote. A quote that says "excludes hazardous materials" is not a fixed price.
An Illawarra builder's published ranges
Adlington Homes, a custom builder in the Illawarra south of Sydney, publishes the ranges it is quoting for knock down rebuilds in 2026: demolition $15,000 to $35,000, higher with asbestos or tight access; design and approvals $25,000 to $50,000; construction $2,800 to $3,500 per m2 for a standard single storey and $3,200 to $4,200 per m2 for a standard double storey; and roughly $640,000 to $800,000 for the build of a typical 220 m2 four-bedroom single-storey home, or $700,000 to $900,000 for the complete project. GST position not stated. Source: Adlington Homes, Complete guide to knock down rebuilds, 2026.
Those numbers sit above the ABS national average because they describe a custom build in a coastal NSW market, which is the point of reading a local builder's figures next to the national ones.
Disclosure: Contractor Scale, which operates Bracen, provides marketing services to this builder. The figures are quoted from the builder's own published page, checked 7 October 2026, and are one company's regional examples, not a national average and not a Bracen quote.
What a complete project costs
Add demolition to a new build and allow for the things neither figure includes.
- Demolition and asbestos: $12,000 to $40,000 plus any asbestos elements above.
- Rebuild: the ABS 2024-25 state averages run from $389,949 in South Australia to $645,052 in the ACT, with New South Wales at $565,749, Victoria at $485,292 and Queensland at $458,868. A custom or architectural design costs more per square metre.
- Site costs on a cleared block: soil classification, slab class, retaining, stormwater and service reconnection. These are not in the ABS averages.
- Temporary accommodation for the build period.
- Design, engineering, energy assessment, council and certifier fees, and GST on any quantity surveyor rate you use as a benchmark.
Simonds, a volume builder, puts complete knock down rebuild projects at $450,000 to $900,000 or more as of June 2026, including demolition, site preparation and the build. That bracket is consistent with the ABS averages plus demolition and site costs for a project-home specification.
Knock down rebuild or renovate?
The decision is rarely about construction cost alone. These are the factors the sources agree on.
Rebuilding tends to win when:
- the existing house is fundamentally compromised in its footings, framing or layout;
- a major renovation would approach rebuild money once the unknowns are priced;
- the suburb is in high demand with little vacant land, so the block carries the value;
- the house has no heritage or period character that the market pays for.
Renovating tends to win when:
- period features carry real market value in your street;
- overcapitalising is a risk because the area does not support the finished value;
- planning or heritage controls restrict what you could build new.
Source: Your Mortgage, Knock down and rebuild process and cost, updated 18 June 2024.
The hidden-cost risk sits with renovation. Old wiring, failing footings, asbestos behind the tiles and tired roofing are discovered mid-build and priced as variations. A rebuild prices those risks up front in the demolition quote. Block conditions, local planning rules and relocation costs apply to both paths.
If you are weighing an extension rather than a full renovation, our home extension cost guide has the ranges.
How to get comparable quotes
- Get an asbestos survey and a soil test before you ask for prices. Both change the demolition and slab quotes.
- Ask the demolition contractor what is excluded: hazardous materials, slab removal, tree removal, service disconnection, fencing and site security.
- Ask the builder whether the price includes demolition, site costs, service reconnection and GST, or whether those are provisional sums.
- Compare the builder's gross floor area and specification with the ABS and quantity surveyor benchmarks on the same basis.
- Price temporary accommodation for the full programme, not the quoted build time.
The estimator below this article gives a modelled starting range for the rebuild from your answers, in Australian dollars, with a knock down allowance. It does not inspect your block or replace a priced scope.
Frequently Asked Questions
How much does it cost to demolish a house in Australia?
Typically $12,000 to $40,000, with a median around $16,000 or roughly $80 per m2 according to Airtasker's August 2024 guide. Canstar quoted G.J. Gardner Homes at $12,000 to $40,000 in June 2025 and Simonds quoted $15,000 to $40,000 in June 2026. Asbestos, size, access and slab removal set where you land in the range.
How much extra is asbestos removal?
About $30 to $150 per m2 depending on the state and material. A roof is $3,500 to $5,500, external cladding $4,000 to $6,000, and eaves $1,500 to $2,500 (Airtasker, December 2023; Canstar quoting hipages, June 2025). Get a survey before accepting a demolition quote.
What does a full knock down rebuild cost?
Add demolition to a new build. The ABS puts the 2024-25 average new house at $474,939 nationally, with New South Wales at $565,749, Victoria at $485,292 and Queensland at $458,868, excluding land and including GST. Simonds quotes complete projects at $450,000 to $900,000 or more as of June 2026.
When does rebuilding beat renovating?
When the structure is compromised, when the renovation cost approaches a rebuild, in high-demand suburbs with scarce land, and where there is no heritage or period value to keep. Renovating wins where period features carry value or where planning controls limit a new build (Your Mortgage, June 2024).
Does the ABS new-build average include the land or the demolition?
No. ABS values exclude land, demolition and landscaping. The Building Approvals figure includes site preparation and GST. Add demolition, site costs on your block and temporary accommodation to get a complete project budget.