I hear this almost every week:
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**“We love our interest rate… but we’ve outgrown the house.”**
**“We feel stuck.”**
**“We can’t imagine giving up what we locked in.”**

If you bought or refinanced in the last few years, you’re likely sitting on a historically low interest rate. And while that rate may have made financial sense at the time, life hasn’t stood still.

For many homeowners here in Annapolis and throughout Anne Arundel County, this tension feels especially real right now. Kids grow. Work changes. Aging parents need space or support. The house that once felt just right can start to feel tight, noisy, or inefficient for the life you’re actually living.

If this sounds familiar, I want to start by saying this: you’re not wrong to hesitate. But you’re also not stuck without options.

Why So Many Move-Up Buyers Feel Frozen Right Now

Low interest rates have created what I often call “golden handcuffs.” On paper, your mortgage looks great. In reality, your home may no longer be serving your family well.

What keeps people frozen is the assumption that moving automatically means a worse financial decision. Higher rates. Higher payments. Too much risk.

That assumption deserves a closer look.

Option One: Stay Put and Make the House Work Harder

For some families, staying put is the right short-term choice. But it’s important to be honest about what that would actually require.

This might mean:

Renovating to create better flow or functional space
Converting underused areas into offices or flex rooms
Adding storage or rethinking how rooms are used

The question to ask is not, “Can we make it work?” but “At what cost, and for how long?”

In many Annapolis-area homes, especially those built for a different stage of life, renovations can buy time. But if they simply delay an inevitable move while adding stress, it’s worth pausing before investing more into a home that no longer fits.

Option Two: Keep the Low Interest Rate and Turn Your Home Into an Investment

This is an option more homeowners are beginning to explore, and for the right situation, it can be incredibly powerful.

Instead of selling your current home, you keep that low interest rate in place and convert the property into a rental. In some cases, the numbers work out so the home generates positive cash flow, while also continuing to build equity over time.

This strategy may make sense if:

Your current home would rent easily in the Annapolis area
Your mortgage, taxes, and insurance support a healthy rental margin
You’re comfortable being a landlord or hiring property management
You’re thinking long-term about wealth building and flexibility

For some families, this approach creates breathing room. You move into a home that fits your life now, while keeping a valuable asset working quietly in the background.

It’s not for everyone, and it requires careful planning, but it’s often overlooked by homeowners who assume selling is the only path forward.

Option Three: Move Up Strategically, Not Emotionally

Many buyers assume that moving up automatically means trading a low rate for financial strain. That’s not always true.

In markets like Annapolis, where inventory, timing, and competition can vary neighborhood by neighborhood, a thoughtful move-up strategy matters more than ever.

That strategy looks at:

How much equity you’ve built
Whether a larger down payment could help offset today’s rates
Creative timing options like rent-backs or extended settlements
The long-term cost of staying in a home that doesn’t support your lifestyle

When you look at the full picture, some families are surprised to learn that the monthly difference is smaller than expected. Others realize the quality-of-life upgrade outweighs the financial shift.

This isn’t about chasing more house. It’s about buying the right house for this season.

Option Four: Buy First, Then Sell (When It Makes Sense)

In certain situations, buying your next home before selling your current one can reduce stress and create leverage. This approach isn’t for everyone, but when structured properly, it can be a powerful option.

This may involve:

Carefully timed contingencies
Negotiated rent-backs that give you breathing room
Strategic planning to protect your financial comfort level

Many move-up buyers in the Annapolis area are balancing space needs with commute considerations, school transitions, and proximity to water or community amenities. When those factors matter, flexibility in timing can make all the difference.

The key is that this path should feel steady, not scary.