Loft conversion or pay off mortgage?

[Scout2016]

This is very dull, sorry, but wondering if you could share your wisdom and experience. Our mortgage term ends later this year. We could pay it all off and still have a decent cushion financially.
We are a couple in a 3 bed house with our DD. She is 4 and is in the box room. Spare room is used for working in and guests, as well as laundry drying and storage. We probably have people stay every couple of months at least. When my parents and sister stay at same time sister is in the living room on the sofa. My family and most of my friends live a distance away so too far to see in a day and obviously I miss and want to see them without always going to them. They often bring their OH and / or kids too. I'm guessing DD might want sleepovers when older.
We are thinking DD will definitely need a bigger room soon. But I don't want to have no spare room. Box room isn't really usuable for guests but could be a work space. We looked at getting the loft converted but it's a huge expense for rooms that would only be used as bedrooms a few times a year. And being mortgage free really appeals. We can't do loft and a chunk of mortgage. We aren't high earners so won't have this much again for ages, if ever. We could get 2 rooms up there but would loose the box room for anything much more than storage, maybe a desk. So we'd go from 3 bedrooms to 4 decent sized ones.
So, for anyone not bored to tears already, what would you do? Thank you.

elderly family will struggle with the stairs soon I don’t know any 80 year olds that do. My DM belongs to long distance walking club, does yoga every day and is the youngest of all her friends with whom she does this stuff. Her best friend did a wing walk for her 80th birthday and still skis black runs with grandkids. Some people slide into old age, others march, at speed.

intheningnangnong did you miss the bit about the OP's parent being disabled?

Going against the grain here: look at moving to somewhere more suited.

Pay off the mortgage

Loft as new master suite with bathroom.

Use the 2 rooms on the first floor for DD and guests.

With interest rates at a record low and your age I would do that rather than pay off mortgage

If you don’t want to borrow additional money, could your daughter not move into the bigger room, and switch back to the small one when you have guests? Maybe give he one of those beds with another underneath that raises up to make it into a double. Our children have a room each, but when we have guests, the younger one goes on a makeshift bed in his brother’s room, and guests have him room. Family and friends don’t mind his bits being in there, and everyone is happy.

I’d look at the cost of moving compared to the cost of the lift conversion. A house with 3 decent sized bedrooms without going into the loft sounds like it would work best for you. Work out if that is an option and go from there

@Murmurur Yes. Sorry, I had read but was dipping in and out. Less than ideal then. I beg your pardon fartyface

Yes, lovely ensuite in loft for you, DD in a good sized room, double room which has possibly a bed plus desk for workspace or if not just bed, box room as either office or just general dumping ground. Don't just have the loft for occasional guests but make sure you feel you all gain a ps a family from the expense.

Prob cheaper to do it than move to be honest.

I would never spend so much money on housing guests, However if you create a lovely master suite with bathroom for yourselves I would do that as you have spent the money on you and then both your daughter and guests get a room each and you have the box room for the office. I would only pay off the mortgage at your age if It was particularly high or I was in an insecure job, your house sounds too small as it stands so I would do the loft conversion.

I wouldn’t pay off the mortgage, v low interest rates.
I’m not a fan of loft conversions, aren’t they like 80’s equivalent of a conservatory, too hot In the summer and onto cod in the winter?

I like the room in the garden idea, a friend’s had one done recently, and it’s beautiful. Has a shower room in it too. Low enough that it didn’t need planning permission.

Or moving?

It's begged

Thanks everyone. I really don't think anything in the garden or airbeds etc is an option due to space and guests needs. I get what some have said about DD being in small room and there being a bigger room spare, but the bigger room is very much in use for the majority of our storage, work space (chair, desk, printer), laundry drying and so on. It's in use daily in between visitors. I think paying mortgage off then saving up for loft while keeping an eye on how much bigger houses would cost is the way to go. And maybe a valuation on ours when the virus situation is over.

I get what people are saying about interest rates too, but we aren't making any interest on our savings. The interest we are paying on the mortgage is higher than we gain from savings so we may as well try and get shot of the mortgage debt.