Thank you for the suggestions. I was thinking about eventually anyway finishing the basement -except for the hvac/storage area. We would make an office for my husband (he will work from home full time) a craft room for me, and maybe another spare bedroom. The rest would probably be open for a family/ play room. We would probably put a full bath down there too. I have been looking at egress windows and put in as many as I could. I have also been looking at lighting. I grew up with a walkout basement and j really love them. Thanks for the tip about log cabins. I have thought about the loft. I really like that idea and wonder how much that would cost. I know everyone would like it not just my little babe.

Completely undoable project. No one will ever give you a loan to turn a house into a one bedroom. A one bedroom has zero resale value. Your mortgage holder will never be on board with you depreciating their asset like that. Do Not Pass Go, Do Not Collect $200. Pay the mortgage in full and pay the 150K for the renovation in cash is the only way that would happen. You might as well flush it down the toilet as do that though. If you want a master suite, the only thing that makes sense is an addition. You need to reasses what you want out of this house and if spending 150K is going to give you payback. A 3 bedroom, 2 bath, will generally appraise higher. But it depends on the exact market.

I like the placement of the walk-in. It's convenient from both the bedroom and the bathroom but it is in neither. That's really great. You can do much better than hanging rods all along the perimeter though. Maybe shelves on the top and bottom walls and hanging rods on left and right walls if you need to hang that much. Or shelves on the top, hanging on the left, a chair in the bottom right corner with a bachelor's chest with a lamp on it and a mirror hanging above it by the door for storage of underwear and socks. I also like the toilet room at the front of the bathroom so you don't have to walk through the whole room every time you need to go. You'll access that about five times as often as the shower so that's a good choice. I would put the door on the short wall across from the toilet though. It makes no sense to have it open right where someone might be standing at the sink. And some of the convenience is lost by having to make a 90 degree turn to access it. Have it open out just in case. If someone falls or is crouched down getting sick, you'll want access. Two vanities is nice. All told this is the nicest ensuite-WIC layout I've seen posted.

To me, the floorpan seems to make sense as it is. You could extend the bath slightly into the bedroom to give you a longer countertop space, about where the wall of bedroom2 runs, but you need to know if that works with your bedroom furniture. You could also slide the shower over to the back part of your closet, accessed from the shorter end, to slide to toilet down and have more countertop. It depends on your priorities.