More than half of Australian home owners plan to renovate in the next four years, a survey shows.

Home renovations are expected to inject about $22.4 billion into the economy within the next 12 months, according to Galaxy Research findings.

Of more than 2000 Australians aged between 18 and 64, surveyed nationally, the average budget for those who planned to renovate was $16,130 while Gen Y planned to spend an average of $21,961.

Galaxy research director Peter Matthew said the figures were based on a questionnaire about how much the respondents were willing to spend on renovations in the next 12 months.

The participants were given a selection of price brackets, ranging from less than $5000 to $75,000 or more.

“From the total responses, the mid point is taken of each option and the average is calculated based on the number of respondents choosing each of the options,” Mr Matthew said.

South Australians and Gen Y were expected to carry out the most renovations in the next four years.

Among those who planned to renovate, one in five would update their kitchen, making it the most renovated room in the house.

The study, conducted in October, was commissioned by kitchen and laundry specialist Winning Appliances.