Australia Home Improvement Services Market: Size & Share 2025-2033
Australia home improvement services market is valued at USD 10.40B in 2024, projected to reach USD 15.24B by 2033, growing at 3.90% CAGR by 2025-33.
Australia Home Improvement Services Market Overview
Market Size in 2024: USD 10.40 Billion
Market Size in 2033: USD 15.24 Billion
Market Growth Rate 2025-2033: 3.90%
According to IMARC Group's latest research publication, "Australia Home Improvement Services Market: Industry Trends, Share, Size, Growth, Opportunity and Forecast 2025-2033", The Australia home improvement services market size reached USD 10.40 Billion in 2024. Looking forward, IMARC Group expects the market to reach USD 15.24 Billion by 2033, exhibiting a growth rate of 3.90% during 2025-2033.
How AI is Reshaping the Future of Australia Home Improvement Services Market
• Virtual Design Visualization: AI-powered augmented reality platforms are revolutionizing renovation planning across kitchen and bathroom projects, with homeowners using smartphone apps to visualize design changes in real-time before committing to renovations, reducing costly design mistakes by 47% while accelerating decision-making processes.
• Smart Project Management: Machine learning algorithms are optimizing contractor scheduling and resource allocation, with AI systems predicting project timelines within 95% accuracy by analyzing historical data, weather patterns, and material availability, helping professionals complete exterior and interior replacements more efficiently across metro and non-metro cities.
• Automated Cost Estimation: Advanced AI platforms are transforming budget planning by instantly analyzing project specifications, material costs, and labor rates to generate accurate quotes within 5% margins, enabling homeowners across all age groups from under 35 to above 65 to make informed investment decisions for system upgrades and renovations.
• Predictive Maintenance Systems: Artificial intelligence integrated with smart home technologies is identifying potential maintenance issues before they become costly repairs, with AI-powered sensors detecting early signs of plumbing problems, electrical faults, and structural concerns, reducing emergency repair costs by 35% while extending property lifespan.
• Personalized Recommendation Engines: Machine learning platforms are analyzing homeowner preferences, property characteristics, and neighborhood trends to suggest optimal renovation strategies, with AI-driven insights helping 62% of buyers aged 35-54 prioritize energy-efficient upgrades and sustainable materials that maximize property value across Queensland, New South Wales, and Victoria.
Grab a sample PDF of this report:https://www.imarcgroup.com/australia-home-improvement-services-market/requestsample
Australia Home Improvement Services Market Trends & Drivers
Australia's home improvement services market is experiencing substantial growth driven by the accelerating shift toward sustainable and energy-efficient renovations. Rooftop solar accounted for 11.2% of Australia's electricity supply as of April 2024, spurring significant demand for services supporting solar integration, energy-efficient insulation, smart thermostats, and double-glazed windows. By 2025, nearly 50% of Australian homes are expected to feature at least one energy-efficiency upgrade, reflecting the profound impact of climate concerns and rising utility costs on consumer behavior. The Home Energy Upgrade Fund, introduced in 2023, provides tangible support through low-interest loans and grants of up to AUD 15,000 for sustainable renovations, encouraging investment in eco-friendly materials and certified professionals. Builders and service providers are responding with comprehensive "green packages" and sustainability certifications to attract environmentally conscious consumers, with the eco-friendly renovation segment projected to achieve 6.5% annual growth through 2025.
The rapid integration of smart home technologies is fundamentally reshaping renovation priorities and service requirements across Australian households. Australia's smart homes market reached USD 3.8 billion in 2024 and is projected to reach USD 11.5 billion by 2033, exhibiting impressive growth momentum. Home automation and smart security systems dominate this expansion, creating unprecedented demand for electricians, network installers, and integration specialists who can seamlessly incorporate smart lighting, voice-controlled assistants, remote security surveillance, and connected HVAC systems into traditional homes. This technological evolution is particularly pronounced during kitchen and bathroom remodels, where homeowners increasingly expect integrated smart appliances and automated fixtures as standard features. Millennials and Gen Z buyers are driving this trend, actively seeking properties with pre-installed smart systems or undertaking immediate retrofits after purchase. Strategic partnerships between builders, renovators, and technology giants like Google Nest, Ring, and Schneider Electric are delivering integrated solutions that blend aesthetics with functionality.
Rising property values, increased homeownership, and higher disposable incomes are converging to fuel extensive renovation investments across Australian demographics. Approximately one in three Australian households undertook renovations in 2025, with Australians collectively investing over 48 billion dollars in home improvements nationwide. Kitchen and bathroom renovations remain the most popular projects, with over 30% of homeowners allocating budgets between 5,000 and 15,000 dollars for these transformative spaces. The primary motivation driving renovations is updating property style and aesthetics, reflecting homeowners' desires to modernize living spaces while increasing market value. This investment activity spans diverse buyer age segments, from under 35 first-time homeowners focused on DIY projects and essential system upgrades, to 55-64 and above 65 homeowners prioritizing accessibility modifications and energy efficiency. Government incentives promoting energy-efficient and sustainable home upgrades further amplify market growth, while the Australian construction industry's contribution of approximately 162 billion dollars annually—accounting for around 10% of GDP—underscores the sector's economic significance across metro cities and non-metro cities and towns throughout Australia Capital Territory & New South Wales, Victoria & Tasmania, Queensland, Northern Territory & Southern Australia, and Western Australia.
Australia Home Improvement Services Market Segmentation
The report has segmented the market into the following categories:
Type Insights:
• Kitchen Renovation and Addition
• Bathroom Renovation and Addition
• Exterior and Interior Replacements
• System Upgrades
• Others
Buyers Age Insights:
• Under 35
• 35-54
• 55-64
• Above 65
City Type Insights:
• Metro Cities
• Non-metro Cities and Towns
Regional Breakdown:
• Australia Capital Territory & New South Wales
• Victoria & Tasmania
• Queensland
• Northern Territory & Southern Australia
• Western Australia
Recent News and Developments in Australia Home Improvement Services Market
• 2025: Australians invested over 48 billion dollars in home improvements with approximately one in three households undertaking renovation projects, reflecting strong consumer confidence in property enhancement and the continued prioritization of home comfort, functionality, and value appreciation across diverse demographics.
• April 2024: Rooftop solar reached 11.2% of Australia's total electricity supply, driving substantial demand for home improvement services supporting solar panel installation, energy-efficient insulation, and sustainable building materials, with government incentives accelerating adoption of eco-friendly renovation solutions.
• 2023-2024: The Home Energy Upgrade Fund provided low-interest loans and grants of up to AUD 15,000 for sustainable renovations, catalyzing widespread adoption of energy-efficient upgrades with nearly 50% of Australian homes expected to feature at least one efficiency improvement by 2025.
• 2024: Australia's smart homes market reached USD 3.8 billion with projected growth to USD 11.5 billion by 2033, driving renovation demand for smart lighting, security systems, voice-controlled assistants, and connected HVAC installations, particularly among Millennial and Gen Z homeowners.
• January 2024: The Australian Bureau of Statistics reported new residential construction value rising 19.4% to reach USD 7.14 billion, reflecting robust construction activity and strong consumer appetite for home improvement and renovation projects across metropolitan and regional markets.
Competitive Landscape
The competitive landscape of the industry has also been examined along with the profiles of the key players including major national renovation franchises, regional construction and building companies, specialized kitchen and bathroom renovation providers, smart home integration specialists, sustainable building consultants, and digital platforms connecting homeowners with certified contractors across Australia's diverse markets.
Note: If you require specific details, data, or insights that are not currently included in the scope of this report, we are happy to accommodate your request. As part of our customization service, we will gather and provide the additional information you need, tailored to your specific requirements. Please let us know your exact needs, and we will ensure the report is updated accordingly to meet your expectations.
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About Us
IMARC Group is a global management consulting firm that helps the world's most ambitious changemakers to create a lasting impact. The company provides a comprehensive suite of market entry and expansion services. IMARC offerings include thorough market assessment, feasibility studies, company incorporation assistance, factory setup support, regulatory approvals and licensing navigation, branding, marketing and sales strategies, competitive landscape and benchmarking analyses, pricing and cost research, and procurement research.
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