So, my husband and I are thinking about moving into a bigger space. We own two homes right now – a townhouse and a single-family home. We’re currently living in the townhouse, and the single-family home is rented out. We’ve been renting it out since we got married, and it was our primary residence for about three years. We want to make sure we consider everything before making a decision.
We’re looking at a few options for upgrading to a larger space. One idea is selling the townhome, renovating the single-family home, and living there for the long term. Another option is selling both properties and buying a new construction. We’re also considering paying off the townhome and renting it out, while renovating the single-family home to live in permanently. The last option on our list is paying off the townhome, renting it out, selling the single-family home, and purchasing a new construction property.
Let me tell you a bit about the two homes we own. They’re both located in the Chicago southwest suburbs. The single-family home has four bedrooms plus a flex room, three bathrooms, a three-car garage, and spans 3,000 square feet. We got a mortgage rate of 2.75% when we purchased it for $445,000. We’ve already invested around $20,000 in updates, including a new HVAC system, re-stained hardwood floors, painted kitchen cabinets, and sealed all the ducts. We’re looking at a renovation budget of $150,000 to $180,000, including potential upgrades like a kitchen overhaul, new appliances, master bath and closet renovations, flooring replacements, bathroom updates, house painting, and insulation improvements in the attic and garage areas.
Currently, the single-family home is rented out until mid-2026, which is why we’re considering our options now. Now, onto the townhome – it has three bedrooms plus a loft, two and a half bathrooms, a two-car garage, and covers 2,100 square feet. We secured a mortgage rate of 3.875% when we bought it new for $450,000.
As for our potential new home, we’re looking to stay in the same area and find something around 3,000 square feet with a minimum of four bedrooms, three bathrooms, and possibly a three-car garage. Our budget for this new property is around $650,000.