Buy the house or pay off mortgage by 42?

Your reason for the new property being dream like isn't worth it, I don't think. Someone else has done it up. You could pay a project manager to do that for you.

Why not get a home design type and separate landscape professional to have a look and show you mock-ups of the possibilities?
it’s amazing what moving a wall or really making the most of your garden space with strategic placement of trees shrubs and colour can do - potentially loads cheaper too

Go for the dream home £150k mortgage is not chunky - it’s a small percentage of the equity you’ll have. As long as you have a relatively secure job I would do it.

I’d buy the house

42 is young. Buy the house.

Buy the house!

Probably need more information to give an opinion!
On face value the fact you plan to have paid off a house worth 550k when you’re 42 would suggest you’d easily afford to take on the extra mortgage and move.
What isn’t clear is if you had a big down payment / inheritance etc that helped you get this far? The reason I say this is that it doesn’t make sense how it would take 20 years to pay the extra 100k off when you’ve managed to get so far with your current property.

if it’s your dream house and location I’d be inclined to say go for it but I think it really does depend on whether it will impact your quality of life, ability to slow down in later years etc.

You may not need the extra space in time but unless the housing market falls it’s an investment and you can always downgrade later

We moved from a £220k home to a £550k one during lockdown and just paid it off at the start of the year 🎊🥂. We want to upgrade soon but nothing suitable at the moment in our area, so might have to build our dream home (we have quite a lot of land)... I say buy the house...♥️

No because I wouldn’t want to commit to a mortgage to 62. A lot can change health wise in 20 years.

dream house and i really want to see it 😂

Given how much you can/ have paid I think if it’s your dream it’d be crazy not to buy the house!!!

I was mortgage free at 40. Took on a far larger mortgage than you to get to the dream house. Wont ever move again. Having to think about mortgage payments again is a pain, slightly more nervous about what would happen if either myself or DH lost our jobs. But realistically we can afford the payments, still have savings, and enjoy holidays, if I didn't have the mortgage payments I would probably be spending more on jewelry.

We were in a similar situation 4 yrs ago. Our old mortgage would have been paid off now but we took on a 250k mortgage instead.

It's the best thing we've ever done, and we can still be mortgage free in 10 yrs. If it all goes wrong we just revert but in the meantime enjoying our new home to the full.

I would caveat this by saying we did it at the right time with a sub 2% rate fixed for 10yrs.and clearly the market is not as buoyant as it was then

I don't think I would buy the bigger house. Bigger houses mean more maintenance and more heating. We did buy a bigger better house but that was because I got tired of lugging a baby up and down dozens of steps and the thought of lugging two of them was awful. (We live in a very hilly city.) It was a lot easier with the children to have really easy access. We put every spare cent towards the new mortgage and dressed the children in secondhand clothes and drove old but economical vehicles. Honestly, the joy of eventually paying off the mortgage did more for my complexion than vats of La Mer face creams. Unless the move would significantly change your life for the better, I'd just enjoy being mortgage free at 42. Instead of paying interest right up to retirement I'd probably think about a few planned enhancements to your current house and plan a few special holidays. I really enjoy a mortgage free lifestyle and given the cost of living crisis I am really glad I don't have mortgage to pay. My husband had a few health issues and we could choose for him to retire at 62 and that was because we didn't have to meet a mortgage.

As someone who only bought their first house when they were 37 being mortgage free at this age is incomprehensible to me. I wouldn’t hesitate to buy the house of my dreams if I could comfortably afford the mortgage payments, particularly if the current one was a compromise. You have more working years ahead than you’ve already done.

Buy it. Enjoy it fir the next 20 years then sell it to live the best retirement you can.

Are you single? If not, what does your partner think?

If so, how secure is your work considering the threat of AI?

I'd put security first. And work on your house to make it your dream home

I was in a very similar position, we bought it. Because the area we live in now is stunning and the house has much more space which is better for us and the kids. It’s all about Weighing it up for what suits you

I’d be thinking of how the extra money would be used. Even if it gave you freedom, would your other life circumstances allow it? Do you need to work, do you have a partner, children or parents who might need your support?

If you buy the house you’re not committed to it till the end of your mortgage but you’re adding more equity to your retirement pot. You could downsize and pay off the mortgage, you could over pay it, there are lots of ways you could make this work financially AND have your dream house.

I would stay where you are and invest in the house , you say the garden is big but not to your liking you could sort that and make it a space you love . I would definitely go for being mortgage free in a few years - all that extra cash to travel , save , have a nice car . Lovely

Am torn, would be a lovely feeling coming home each day to a house that truly made you happy. But alternatively, to be mortgage free in a few years gives you more money to enjoy here and now or time to save up for a pension and perhaps retiring early.

Also... another dream house that makes your heart sing may come along in the meantime that isn't going to cost much more than perhaps moving costs.

That works both ways - you get one life, so be mortgage free while you're still young and use the spare cash to travel and do all the things you've always wished you had the money to do. You don't need a big house to grow old in. I know a lot of older people sat on a lot of equity in houses which are too big but they have been there too long to downsize.

I’d buy the house. Surely, it would mean taking out a quite small mortgage relative to the value of your house if you’re nearly ready to pay yours off. That sounds ideal at your age.

I only bought my first house at 40 and took out a £500k mortgage! It’s a wonderful house and has been a great investment and I’m very glad I did.

You aren’t 70 and nearly dead. You have probably another 40 years to enjoy (or not!) whatever home live in.

I'm 44 now. Renting at the moment. But I plan on buying a small house on my own in the next 2 years. I'm hoping to do it mortgage free.
It won't be the most beautiful but it will be mine.
I think your mad thinking about expanding your mortgage in your situation

Buy the house