Situation is this. Currently owe about 450k on a $1,000,000 house, in year 11 of a 15 yr. mortgage at 3.125%. House is 20 years old. Making payments are not a problem.
Elderly mother in law is coming to live with us. She is in good health now but the future of course, is unknown. We would benefit from from having two bedrooms on the main floor instead of one (she cannot negotiate stairs). We are considering purchasing a new build that will cost $1,600,000 (yep, it's expensive here) and financing for 30 years at let's call in 3.75%. PITI would be about 1k less/month but obviously would add 19 years to making payments.
I would like to stop working in 5-6 years.
Pros and cons all over the place. Out of payments earlier with new house. No major maintenance expected on new house though I'm sure we would have at least 100k of windows and driveway replacement on our current home within a few years. I would need to use about 500k of about current 3.5 million in assets to keep the payment reasonable.
Has anyone faced this issue or have thoughts? Thanks.
Elderly mother in law is coming to live with us. She is in good health now but the future of course, is unknown. We would benefit from from having two bedrooms on the main floor instead of one (she cannot negotiate stairs). We are considering purchasing a new build that will cost $1,600,000 (yep, it's expensive here) and financing for 30 years at let's call in 3.75%. PITI would be about 1k less/month but obviously would add 19 years to making payments.
I would like to stop working in 5-6 years.
Pros and cons all over the place. Out of payments earlier with new house. No major maintenance expected on new house though I'm sure we would have at least 100k of windows and driveway replacement on our current home within a few years. I would need to use about 500k of about current 3.5 million in assets to keep the payment reasonable.
Has anyone faced this issue or have thoughts? Thanks.
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