More Australians than ever before are demolishing an existing property and building a beautiful new home from scratch.
The real estate landscape in 2025 continues to evolve, and the trend towards knockdown rebuild projects continues to see remarkable growth.
According to the latest ABS Building data in April, approvals for new homes are up in New South Wales (7.3%), Queensland (7.3%), and Victoria (0.9%).
At the same time the data also shows we are witnessing a surge in demolitions, particularly in metropolitan areas like Melbourne and Sydney, proving that homeowners and investors alike are increasingly setting the stage for new beginnings.
It's no wonder given the upsides of a knockdown rebuild, says Shaun Patterson, Simonds Homes, Chief of Sales and Marketing.
"We’ve seen knockdown rebuilds become more popular as more homeowners realise, they don’t have to leave their location to upgrade their lifestyle,” he says.
"It’s the best of both worlds; you keep your ideal location, whether that’s close to schools, family or work, and you get to build a brand-new home tailored to your current lifestyle needs.”
Knockdown rebuild projects are becoming more popular but pose some unique challenges.
Patterson says there's strong demand for rebuilds in Melbourne, Adelaide and Southeast Queensland.
“These locations typically are scarce on land availability, already established with no greenfield developments."
He adds that rebuild projects are popular across Melbourne, especially in suburbs like Brighton East, Box Hill, Doncaster, and throughout the Mornington Peninsula.
In Queensland, projects are happening from Noosa and the Sunshine Coast to Brisbane neighbourhoods like Aspley, Camp Hill, and Ashgrove, as well as the Gold Coast areas of Labrador, Southport, and Burleigh Waters.
While in Adelaide, Patterson says interest is spread between the east and west.
The road to success
Starting a knockdown rebuild is a fun adventure where you transform dreams into reality.
However, it requires some planning, organising, and, of course, approvals.
Here are a few key tips to a successful knockdown rebuild project.
1. Understand the property
Before embarking on a knockdown rebuild journey, it's crucial to evaluate the property's potential.
Patterson says when assessing a site there are four key factors to consider.
First, accessibility is crucial and you need to determine if there is space for demolition equipment and construction access.
Look at the orientation of the property is important too with Patterson explaining that "a north-facing backyard can optimise light and energy efficiency."
Zoning and overlays must also be considered, as they can affect what you build. Given the critical analysis at this stage, Patterson recommends bringing in help.
"Homeowners need to be mindful of any local planning restrictions or overlays that could affect the rebuild—flood-prone areas, bushfire risk zones, vegetation and heritage overlays all require careful navigation," he shares.
"At Simonds, our specialists assess these risks early on and can guide you through council requirements, site works, and compliance. We also look at the site’s slope, access points, and soil type, which can affect both build time and budget. It’s all about setting realistic expectations and making sure the process is as smooth as possible."
Considering the unique features of your site are important when planning your knockdown rebuild.
2. Choose the right builder
Selecting a reputable builder with knockdown rebuild experience is essential. With over 75 years in the business, Simonds Homes is an easy choice, walking their clients through projects step by step.
If you choose to find a private builder, research is key. Its important to verify the company's licensing and insurance as well as previous work to avoid common pitfalls, such as construction delays or subpar craftsmanship.
"You will also want to look out for builders that offer transparency around costs and timelines and offer flexibility in home designs to suit your needs," shares Paterson.
"It’s definitely worth visiting a display home, or their recently complete projects, to get a feel for the builder's quality, craftsmanship and design flexibility."
3. Understand planning regulations
Navigating planning regulations is not easy and will take expertise and time.
"Every council has different planning regulations including setbacks, height limits, private open space requirements, site coverage rules and more," explains Patterson.
"If you’re in a heritage zone or have an environmental overlay, you may need specific planning permits before you can build."
There are also things like bushfire protection if you're in certain regions, adds Patterson.
"At Simonds, we have in-house planning support that interprets these rules early, so we can consider these factors as we design your home, rather than having to amend your plans down the line saving time and money."
The experts at Simonds Home can help you understand the regulations and requirements for your project.
4. Designing your dream home
Imagining what your new home will look like is fun.
But, before you draft your own plan, it's wise to explore existing options, as architects don't come cheap costing between 10–15% of the overall project.
Simonds Homes offers an extensive range of single and double storey home designs suited to knockdown rebuild projects and can be tweaked to match your dreams.
"Our Elite range, available in Victoria, Queensland and South Australia, offers a wide selection of homes with options for multi-generational living," shares Petterson.
"In Victoria, homeowners can also choose from our Masterpiece range where we offer custom knockdown rebuild homes and dual occupancy designs."
He adds that customers can have plenty of stylish facade options, libraries of floorplan options, and premium upgrades to make their home unique.
They can also choose all the interior features.
"Through our Gallery design studio, customers can also work one-on-one with our talented Interior Designers to select cabinetry, tiles, tapware, flooring and more," Patterson shares.
5. Include design and lifestyle innovations
Modern home builds are all about lifestyle and family-friendliness so don't forget the extras.
Incorporate open-plan layouts, energy-efficient solutions like solar and double glazing, and smart home technologies.
Plus, don't forget landscaping, which can be costly but boosts the enjoyment of a home.
Designing a dream knockdown rebuild home that suits your lifestyle is easier with expert support.
6. Set your budget
Budgets are hugely important and will need to cover everything including pre-site works, construction costs, permits, and contingencies.
It's important to be realistic about costs so you don't fall short.
You'll need to choose materials charge to avoid cost blow outs and get pre-approval for financing early to know how much you can spend.
7. Site preparation
Getting the site ready is a key step.
Factors to consider include removing debris, levelling the ground, and ensuring easy access for construction vehicles.
8. The construction phase
Doing a knockdown rebuild usually takes 12 months, sometimes longer for custom projects, so be ready for the journey. Keep in touch with your builder to stay updated and visit the site at key stages to monitor progress and address concerns.
Simonds Homes highlights five main building milestones: Slab, Frame, Lock-up, Fixing, and Final Inspection and Settlement.
Once your home is ready, do a final walkthrough with your builder to check for issues.
At the Settlement stage, you'll make the last payment, receive the Certificate of Occupancy, and get the keys to your new home.
From there, you’ll have warranties in place to help protect your new home for years to come. Simonds offers a Lifetime Structural Guarantee*, providing added peace of mind as you take this next step. It’s just one of the ways builders can offer long-term confidence in the quality of your home.
For more help and advice on your knockdown rebuild project, get in touch with the experts at Simonds Home to see how they can support your new home journey.
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