Previous studies have shown that using a tool modifies in a short time-scale both near-body space perception and arm-length representation in the body schema. However, to date no research has specifically investigated the effect of tool-use on an action-related perceptual task. We report here a study assessing the effect of tool-use on the perception of reachable space for perceptual estimates made in reference to either the tool or the hand. Using the tool on distal objects resulted in an extension of perceived reachable space with the tool and reduced the variability of reachability estimates. Tool use also extended perceived reachable space with the hand, but with a concomitant increase of the variability of reachability estimates. These findings suggest that tool incorporation into the represented arm following tool-use improves the anticipation of action possibilities with the tool, while hand representation becomes less accurate.