Buildings are responsible for a large portion of resource consumption and CO2 emissions, so the construction industry is one of those where rapid action is required. At this point, Life Cycle Assessment (LCA), a tool to evaluate the buildings’ environmental impacts, is playing an increasingly important role in sustainable building design. There are two LCA approaches: Attributional Life Cycle Assessment (ALCA) and Consequential Life Cycle Assessment (CLCA). ALCA represents the potential environmental impacts linked to the life cycle of the assessed buildings, while CLCA examines the environmental consequences of the decisions. Although the attributional approach is widely used, there are limited studies explaining how to apply consequential LCA in the construction industry. While some studies identify differences between ALCA and CLCA, the methodological features of the consequential approach have not been discussed in detail. Nowadays, with the effects of climate change becoming more distinct, detecting the environmental impact of a building over a certain period has been highlighted. Therefore, a comprehensive approach to determining the future effects of our decisions is crucial for environmental sustainability. In this study, the existing literature on both approaches is critically analysed to explore the key characteristics of both approaches and evaluate the opportunities and challenges for a holistic life cycle assessment system that considers attributional and consequential approaches together. Furthermore, a theoretical approach to developing a holistic framework is introduced.