AIBU to stay put, improve my home, or move somewhere bigger?

[TheGreatDownandOut]

Inspired by another thread about whether the novelty of having a bigger house would wear off but wanted to post about my specific situation

I have recently had a payrise. I moved in to my current property about 18 months ago and got a new kitchen and bathroom etc but haven’t actually ‘finished’ it off yet. The main pros are, it’s very cheap and easy to maintain. My mortgage is very low compared to most but the cons are, no drive, very small garden and area isn’t the best - it’s very built up but don’t necessarily have any trouble around here. The bathroom is very small with only space for a (albeit decent sized) shower and no bath. I have one DC that lives with me half of the week other than that, I live alone. I don’t often have lots of people over but I do spend a lot
of time at home as I WFH full time.

I have toyed with building a very small extension on the back, downstairs WC and utility, upgrading my windows and doors and maybe even looking in to a loft conversion. My third bedroom is tiny and my desk is in the living room. I’ve had a look at what I could potentially afford in the area, not by completely maxing out what I could borrow but still looking at something twice the value of what I am in now and there are some lovely, spacious three bed detached houses with bigger gardens and a drive and garage etc in my price range. I don’t know whether that would be a good move though. What would you do in my situation?

I would move and enjoy the extra space, garden and drive.

Thank you. My house doesn’t lend itself well to an extension, even a small one as the garden is so small and I think there’s a ceiling price anyway so not sure if there would be much of a return on it.

It’s also weighing up disposable income vs nice house!

Anyone else? 🙏

If you’re a single parent then I’d value financial stability over a bigger home.

I think it depends on your priorities and what your budget allows for - eg, if your payrise comfortably allows for you to do everything you want to, like saving for your child's future, making sure you have enough savings to cover you in the event that you were made redundant or were ill for an extended period & couldn't work, investing in your pension & any other investments you have, saving for fun stuff like holidays and you still pay more on a mortgage for a bigger property, go for it.

I'd always value expendable income over a bigger home. I'd never want to max myself out for a property. A couple of holidays a year and plenty of day trips would always come before a driveway for me (Well until I start approaching the age I cant walk a few metres to the car)

What is it you will gain from a bigger house and what would it cost you? I would then weigh that up against what you could do with the money e.g. investing it for your long term future such as putting your payrise straight into your pension and work out if that lets you retire early or with a better quality of life then or if you want to pay for your child to have a leg up or whatever.

I moved from my first owned home in my mid 40s purely to cut travel time and costs and gained quality of life. The house was bigger, but that hasn't been a benefit in any way, it has just cost more to furnish and it required work so more money to do that.

The cost of that was many more years of mortgage payments and less of an ability to retire sooner. I don't regret that as the quality of life was so much better due to less travel time, but now in my mid 50s, it is retirement and a further house move to suit retirement that has become more of a focus money wise. I tell you this just because my experience has been a change of priorities over a relatively short period.

Thanks for all the responses. We have been saving for DC since birth and I’m looking in to increasing pension contributions.

Im wondering if a half way house (literally!) might be a better option. Perhaps somewhere roughly 50% more in terms of value of this one, maybe even a 2 bed that I could extend.