yeah, that's the choice i prefer ..please explain how the garage and the bungalow work in with your plan, do you need to keep car access to the backyard, what do you think about a garage in the front yard, is there enough space and is it acceptable to the local council, would you prefer the extension to be on a slab at ground level or timber floor same height as existing house, two storey uses lots of space upstairs and down just for the stairs but would your prefer two storey? what are the walls and roof made out of and is there anything about my first rough plan that you like or dislike

for inspiration (floor plans and walk around) you could look at exhibition homes in your area and/or online for many different styles and, if the garage and bugalow can be ignored, then it might be worthwhile to consider an extension at ground level with kitchen family laundry a few steps down from the old kitchen and an upstairs with flexible children's bedrooms and bath and/or or master suite and reconfigure the old house to blend the two sections with a wrap around carport down the side and across the front verandah to maintain the original feel of the house..some photos of the roof from back, sides and front would really help with this plan

ok, here's my go: keep kitchen in current location. fill in wall between living and dining room. remove wall between kitchen and living, replace with steel beams and columns. the living room becomes the new dining room, with access straight from the kitchen. Possible skylight above the new dining room. Remove doors from kitchen or replace with sliders (if cavity available). The back bedroom can become a study. Now for the expensive bit: new building on the back (choose a style, keep the calif bungalow or go modern), all insulated double glazed etc..new living area, 2 beds, maybe an ensuite if necessary. the front bedroom could become the master with it's ready made ensuite. Link the new and old with a light filled living area. An architect will do wonders here, and will probably save u $$ on a poorly designed/constructed build anyway. I wouldn't go up with this house, sensible extensions and renos only.

the advantage of this method is the least disruption to the existing house; most of the work takes place out the back..may be a bit hard to get frames and trusses on site, depends on how wide your driveway is. but if a standard 10t

flatbed truck can get down the side you're in luck