Knock down rebuild is more affordable than you might expect

The greatest benefit of demolishing your existing home and building a new home on your current block is that you get to stay in the community you know and love.

You and your family get to stay in the neighbourhood that you already feel comfortable in. You already know all the local shops, local amenities, nearby schools, parks and much more. Your kids won’t need to change schools, you will already know how long your work commute will take, you can stay with your favourite hairdresser, doctor, café, restaurants and more. You also get a brand-new home with modern design features and suitable building materials; in a location you already know.

Cost of demolishing your home

A Knock Down Rebuild project can be significantly cheaper than having to do multiple major renovations to get the home you want. While you may think it’s cheaper in the short-term by splitting the renovations up and working from room to room, in may not turn out so cost-effective in the long run. This is because renovating can have many unknown costs that may arise throughout the building process

That doesn’t mean building a new home is not a huge project, but with the right building company, it can be made easier and proceed without any major issues.

Like any building project, there are some significant costs associated with acquiring a suitable block of land, clearing the block, and then building the new home. From our experience at ZAC Homes, through undertaking many knock down rebuild projects for families all over Sydney, here are a few key things that will impact the cost of your dream home.

Buying the existing home

If you’re lucky enough to have inherited a family home or you already live in a location you love, then you can skip the step of buying an existing dwelling.

But, if you don’t already own a home in a location where you’d love to build your dream home, then your first step with your knock down rebuild project is to buy an existing property.

Ideally, you’ll find a rundown house in a location that you and your family love and pay land value for it, rather than buying a house in great condition. It might mean that you need to keep an eye on the locations you like for some time before the right opportunity at the right price comes on to the market. Just be sure that before you bid on that new property you undertake the necessary checks to ensure you can demolish the house and build the type of new home you want for your family.


Once you’ve got the land, the first step is to obtain the necessary permits to demolish the existing dwelling and build a brand new home. Your first point of call will probably be your local council, and depending on the zoning of your land, and the home you want to build, you may be able to obtain permission via the Complying Development system.


From our experience at ZAC Homes, demolition usually costs about $15,000 to $25,000 depending on what material the existing house is and if asbestos removal is required.

The cost and complexity of your demolition will depend on several factors including the size of your old dwelling, the materials it is constructed from, and the ease of access to the site. Clearly, a large house made of brick or concrete is going to be harder and take longer to demolish than a small fibro house. Additionally, there will likely be house foundations to remove, outdoor zones like patios, pools and gardens to be dug up to make room for your brand new home.

Site costs

Generally speaking the flatter, the block of land, the lower the costs involved in preparing the site to build a new home. But building on a sloping block can still be accomplished with the right level of planning. At ZAC Homes, we have plenty of experience building homes on sloping blocks that require a customised design.

At ZAC Homes we focus on helping clients design a house to respond to the natural topography of the site. We minimise the use of excavation and fill where possible to preserve natural drainage patterns and prevent soil erosion. The site preparation and costs can include site topography & aspect, soil testing, site survey, vegetation, service connections, site access, and more.

Save money and stress with an experienced builder

By going with a builder like ZAC Homes with 30 years of experience and thousands of new homes completed on time and on budget, you will save money.

One of our key strengths is duplex homes like our popular Daintree design. We have built over 300 duplex homes and are experts in size, position and house style. We provide expert advice to get the most value out of your investment and your block.

Unlike many builders, we take care of everything from design, approvals, demolition (if required) and construction.

The team at ZAC Homes are knock down rebuild specialists and regardless of your block being sloped, narrow, above or below the road, our design team will work with you to create a contemporary design that fits your budget. ZAC Homes builds with trust, respect, integrity and pride, which we work hard to deliver to every client. Call us on 1300 350 793 or send us an online enquiry and our team will work with you to design and build your dream home.

Want more information?

Contact our team using the form or using the details below

Phone: 1300 350 793


Address: Unit 6, 119 Coreen Avenue, Penrith, 2750

Book an appointment online or visit us at our display homes at Box Hill and Marsden Park

We have just started our building journey with ZAC homes. We have chosen to build with ZAC homes as they have allowed flexibility with the design, resulting in a better usage of the living and bedroom spaces. Other companies had a rigid design which would have resulted in variation fees.


…ZAC Homes kept us regularly up to date with the progress of our home and the job was finished on time, which was very important to us. We are one hundred percent happy with our home and can thoroughly recommend ZAC Homes and their crew to anyone contemplating building a home.

Bilynda & Paul Robins

…Firstly I would like to thank the ZAC homes team for the experience that my wife and I have had when making the purchase of an investment property. The professionalism and dedication that was displayed, was by far the best that we have seen or experienced previously.

Bob F.

I can not speak more highly of this local building company. Right from the beginning they have been excellent to deal with…The finishes were very good and any work that I wanted fixed which was minor things was done


Very well managed with no hidden cost or surprises. Workmanship was excellent and very professional


Really pleased with the building process, communication and designs. Would definitely recommend.

Hannah Johnston

The customer service and assistance was superb with quick turn around times and patience with our queries. Everything from initial consultation, to colour selection to hand-over was organised easily and open communication was maintained throughout the process.

Daniel North
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