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The sitution is as follows:
Husband and wife both working and over 50
Both have retirement plans and 401k's, other very small investments (late starters).
House paid for.
No deductions on income tax.
Obligations include, Education loan for one college graduate, Monetary assistance for other adult child with 3 children (not able to deduct as dependent on taxes), Upkeep and taxes on family cabin split with 3 other families.
One credit card...balance paid off once or twice a year.

Husband looking at forced retirement in 3 years with ability to draw partial pension, full pension in 8-9 years. Wife will have to work 8 more years to collect 20 years retirement.

House has one bathroom, 2 bedrooms, kitchen too small for table or dishwasher. Located across the street from an elementary school in good neighborhood. P.S. House will be kept well into retirement.

The burning question - is it wise to take out a home equity/home improvement loan to add a bathroom and enlarge kitchen and add another bedroom (or any of these improvements) at this point in time? Any thoughts or direction are appreciated.
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