Would you expand?

I bought my house before I met DH, and it was a great size for me - three average size bedrooms, one bathroom, one car garage, etc. Now that DH and the baby are here, it's getting a little tight. It's reasonable, but we're starting to feel cramped. If we expand, we'd add about 800 sq. ft. I just dont' know if I want the expense because I'm used to my reasonable monthly payment and an expansion would almost double it, not to mention increase the taxes about $1,500. The monthly budget would basically be just about everything we make.

I'm just trying to get all the positives and negatives about expanding. Can you guys help me think this out? Thanks!

Re: Would you expand?

Would it be a better investment to sell at the current market standards and then upgrade to a bigger house? You could probably cash in big on your current home and the difference in what you sell vs. what you buy wouldn't be that big of a difference?

Re: Would you expand?

If you were to sell - I would wait till the spring or the summer. Right now the house market isnt that great and houses arent selling like they did during the past summer and people arent getting the same amounts for their houses as they would if they sold it during the spring or the summer. If you can wait to sell i would.

If you expand, and the budget wont be within your means, maybe you shouldnt do that...especially if your taxes and monthly payments are going to be higher than what you can afford, and basically you will be working for your house. That is something I wouldnt want to do to myself.....

Scott

Re: Would you expand?

Re: Would you expand?

You thought what?
Scott

Re: Would you expand?

Re: Would you expand?

Oh ya working for the house is good as long as you arent digging a hole deeper and deeper and putting yourself under it.

You will have to make a budget and see if you can afford everything - keep in mind things like gifts, and spending money, doctors appointments for the baby etc....

Also if your DH or someone in your family is handy that would really help out. My father in law probably saved us 10k to 15k when we did the renovation on our house - he did all of the work except the bathroom...and all I had to do was pay for supplies and buy him breakfast and lunch.
Scott

Re: Would you expand?

Re: Would you expand?

Re: Would you expand?

I don't think we'd move. I've been watching the listings and really haven't seen anything that interests me. The other issue is I refinanced a few years ago, and I only have about twelve years left on my mortgage. It's really hard to think about refinancing again or taking out another loan that I'll be back to paying for thirty years.

We could afford it, but it means I have to keep working and can't stay home with the baby, and we wouldn't have much left over for extras. Luckily, DH is handy and can do most everything, but he's got a full-time job so getting all that done in his off-hours will take a long time.

Like you said, I just don't know if it's worth working for the house. I told DH to wait until after the holidays and we'll figure it out then.

Re: Would you expand?

If hubby is handy what about using those contractors - (aw heck what is their name) shells only? They only put up the shell of the addition and that way you can get your own electrician, do the insulation/sheetrock yourself, etc. You'll save a ton that way!

Re: Would you expand?

Re: Would you expand?

Personally, I think that if you can stay home and make your bills on DH salary, I would not expand. It is such a short time that you will have the opportunity to be a SAHM, and I think that is more important than getting a little more space. Once your children are in school, and you want to work again, you can expand then (and DH will be making more by then too)!! I just think the time we spend with our children is more important than working for our houses (as many of us HAVE to). I thinka 3BR house is plenty for a small family, after all plenty of people raise families living in apartments. This is just my opinion.

Re: Would you expand?

I'm not a handy guy, nor do I have the patience to deal with contractors, so I would look to move. In your case, 800 sq feet sounds like a lot of space. For it to be only a $1500 increase in taxes doesn't seem to be that bad. I would just balance wants vs. needs and try to keep everything within budget.

Re: Would you expand?

I recenlty chose to stay in my small apartment for a while instead of buying a house. Buying a house would have meant every penny we made went to the house and there would be nothing left over. We decided we would rather live on top of each other and be able to go out and spend time with each other, rather than having a big house and one of us maybe having to get a second job (and never be able to be home to enjoy the big house-or our son).