Am I unreasonable for wanting to move to a bigger/nicer house?

Edit - we haven’t moved the tenants out because they pay 2500/month in rent to us and it all goes into savings for our future house or whatever we will need it for. Also since it’s not a great neighborhood I’d like to move. The school district is very bad.

My husband and I live in the back half of a house that we own. We rent the main part of the house out to a nice family. The income helps because I’m about to quit my job to be a stay at home mom. Our part of the house basically a sunroom and a small basement. There is no kitchen, we retrofitted a walk in closet with a small fridge, 2 gas burners and a toaster oven. There’s a bedroom in the basement that we share with our infant baby, a laundry room, a workshop that has all our junk in it, a tiny bathroom and a 1/2 acre backyard. It’s in a bad neighborhood so I’m not comfortable walking outside alone with our baby during the day. It’s such a small place that in order to fit the play pen that I need for my son, I need to get rid of our couch. The sunroom/living room is the only space upstairs and I’ve rearranged the furniture every way to try and fit it but we can’t. We don’t even have a kitchen table. I hosted some dinners and we sat on the couch.

I’m dying to move somewhere bigger. Our son is going to crawl and walk soon and he needs room to play. But my husband is SO picky about a house. He wants it to be a fixer upper so that we make $ on it if we move out of it. I’m saying let’s just buy something move in ready bc we have no time to fix anything up. We can barely get dinner on the table. We have a lot of $ in savings but he doesn’t want a mortgage bc he’s scared he’ll lose his job. There’s no indication of that but it’s his fear. I’m telling him people get mortgages that’s how you buy a house usually. But he’s trying to just buy something with cash and so our house search has been going on for YEARS. Am I being spoiled? Should I just be happy with what I have