life planning/real estate advise

[SeanB.]

Well, if you aren't in a big hurry you could try a little experiment. Figure our how much your new payment would be, with taxes and insurance. Then, when you make your current mortgage payment, put the additional amount aside in a separate savings account. Do that for a few months and see how comfortable you are with the higher amount. After three months, you'll either have some extra money toward a down payment, or a little extra savings.

One thing to consider though, is how much money will you end up spending on private school if you stay put? Whatever amount that is, would have to be factored into your planning if you want a real cost comparison of staying versus moving.

As far as not saving too much of that extra 5k a month, you know the saying..."People spend what they make." If you have more of your discretionary money already committed to something like a better house in a better neighborhood, or private school, that's just money you won't be blowing at the mall or on other more frivolous things. JMO, but the money I spend on my kids, always seems to give the best dividends. I don't think you could go wrong making some sacrifices to provide a better home and school environment for your kids.

Good luck with whatever you decide. BTW, what part of the country are you in? Here, south of Houston, a 300k+ home will get you into about a 3,000 sq ft home in some pretty nice neighborhoods with good schools, amenities, etc.