Should You Build, Renovate or Extend in 2026? Reality of the Perth Market | Home Building Podcast

Welcome back to The Home Building Podcast for our first episode of 2026. In this episode, we break down what the home building industry is really shaping up to look like in 2026 and whether it actually makes sense to build, renovate, or extend your home this year. With record low housing supply in Perth, rising construction demand, and ongoing pressure on builders and trades, many homeowners are unsure what the right move is. We talk through what is happening on the ground, how builders are pricing work, and the real risks buyers need to understand before signing a contract. In this episode, we cover: Why Perth’s housing supply is driving more people to build What rising construction demand means for pricing and timeframes Fixed price vs cost plus contracts and why the difference matters in 2026 How trade shortages affect build quality and builder stability. When renovating or extending can make more sense than buying established Why building can still be a smart move if done correctly If you are planning to build, renovate, or knock down and rebuild in Perth, this episode will help you make clearer, more confident decisions in 2026. If you find this episode helpful, please follow the podcast, leave a review, or share it with someone currently planning their home. Chapters 00:22 Kicking off 2026 and what this year’s focus will be 01:06 Why long form conversations matter for homeowners 02:00 What’s coming up on the podcast this year (guests & topics) 03:37 The big question: should you build in 2026? 04:00 Perth housing supply explained and why prices are rising 05:07 Why low stock pushes more people toward building 06:05 How government incentives impact construction demand 06:48 Trade shortages and how they affect build quality 08:36 Fixed price contracts and why builders are under pressure 10:31 Cost plus contracts explained and why they’re risky for clients 11:43 How Independent Building Advice approaches fixed pricing 12:00 How builders should realistically price homes in 2026 13:31 Why complex builds cost more in the current market 14:56 Renovations and extensions: hidden complexity and cost 15:49 The upside: Perth property growth and building for equity 16:41 When renovating can make more sense than selling 17:32 Why many people end up building even if they didn’t plan to 18:36 Final verdict: is 2026 still a good time to build? 18:55 What this podcast is here to help you with 19:11 Closing thoughts and what’s coming next Found the episode useful? Please follow & leave a comment. It really goes a long way to getting it to more people like you. Need building advice? Find out more on our IBA website www.independentbuildingadvice.com.au Want more home building episodes? Visit our YouTube or website https://independentbuildingadvice.com... Follow us on socials: Instagram | Facebook | YouTube