Extra Bathroom vs. Rental Proprty?

[David Miller]

I find myself at a fork in the road - should I add an extra bath to my current home OR buy a rental property? 

I've had comps run for my home in West Nashville and if we add the extra full bath, our home value will increase anywhere from 60-75K. Eventually we will need this full bath, but realistically it won't be for 3-5 years. The total cost of adding the full bath will be 18K-20K.

With that same money 18K-20K, I could go buy a rental and cash flow $200-$300/mo on a property. 

Given the financial climate with COVID and the unknown of the real estate market, do yall have any insight on what you have done previously? Have you faced something similar? What helped you decide? 

I'd love to hear any input you may have!

Dave Miller