Post # 1
Within a year, FI will inherit half the family home between him and his brother. We are living in a very expensive city and the mother in law would like to live with us.
Here is the deal, his current home is in a good location, hosue itself is a great investment but the monthly hosuehold expenses is quite high (3800 sq ft)… it only comes with one bedroom mortgage helper. (wihcih will only generate $700 rent) So if we buy out his brother’s portion. Most likely we have to pull another 100K to renovate the house… it is a 23 years house that hve never been updated and in order to manage this house, we have to convert another mortgage helper.
So we will have 500K-600K cash on hand if we sell this house. Sadly, all the move in ready house with mortgage helper is around 900K-1.1M in our area………
so my question for you, would you buy out the house (risk is once the MIL pass away, there might be a chance sibiling will come fight for it) or buy a smaller house that at 800K range (1500-1800 sq ft) but MIL is a hoarder……… or buy a completed renovated house with mrotgage helper which is going to list at 1.1M on average
Thank you for helping !!! it’s so hard to make the decision !!!!
Post # 2
I wouldn’t want to fight the family for the house, or live with the hoarding MIL.
I would ask the brother to buy me out, or see if he’s willing to sell the house and split the profits.
Post # 3
Is your MIL part of every option?
Post # 4
I wouldn’t ever want to live with the in-laws or my mom again, no matter how much I love them and they weren’t hoarders. I would nicely decline her offer and buy a fixer upper or stay in the current house.
Post # 5
Stick to your own place….if you can afford your own place without all of the attachments and strings…you’re better off in the long run!
Post # 6
+1 for selling the house. That way you get to pick exactly where you live and won’t have to spend $100K and months/years updating the place. Going smaller is a good idea, but make sure you have enough space to be comfortable.
Post # 7
The brother has a huge debt and won’t able to buy us out. He is the one who approach us to sell the house. The MIL is very old, she is turning 80 next year… so declinig her offer is not an option.
He wants to sell the house and split the profit. MIL and FI would like to stay in the current home if possible
Post # 8
I’m torn between the two options. My accountant friend told me to keep the house because it’s a good investment house and even with 500-600K on hand, there is no way we can buy something similar in the city where I live.
I’m leaning toward to buying another place that already done up to bottom…. but with the money that we have on hand, it will for sure down from 3800 to around 2600 sq ft…. and we must rent downstiar in order to survive… which leave 1300 sq between the three of us
I’m getting married in 4 months, this is stressing me out a lot.. and completely ruin my wedding mood.
Post # 9
I know… but that’s not an option. We can’t leave his mom alone, especially she is 80 already…
I actually have a rental condo in the suburban area… me and FI both agreed, we wish we can just move into my condo and don’t have to deal with the drama
but it just so hard to say no to a mother who is at her 80….. when she says she wants to live with us… it just so wrong to send her to an old folk home…
Post # 10
it would be easier if she agreed to live in a townhouse, so the mortgage won’t be that bad.
But she make it clear she wants to live in a house and that’s why I’m so stress out about it.
she wants to live in a house where there is a mortgage helper, close to transit ……. and with this criteria, it will be very expensive…… any house with that criteria is over 1M
Post # 11
It’s very noble of you to do this, especially if she really is a hoarder. In your situation I would sell the house and buy something with a completely separate in-law space for her, with her space preferably on one level so she doesn’t have to deal with stairs as she ages. I think that’s the only way I could handle it!