New preamp or up grade my cartridge and or phono amp?

I’m not a Rega fan but my one cent contribution would be that it’s the Emotiva that is holding your system back.  Junk that, get a proper set of separates, and then scrap the Rega stuff when funds allow 

WAF means, EVERYTHING stays in the large family room, unless I put a 2 CH system in a small 9X9 bedroom. So the preamp would have to have a HT bypass.  But I'm still kind of stuck on why the preamp is so important if I'm using the "Reference Mode" which is supposed to be a straight shot through. Unless it isn't. Not sure I can justify more than $3K extra for this upgrade. I'm about to retire and would prefer to stay married through this process(as in it wouldn't be any fun enjoying a really nice system in a studio apt.) 😅

What are you trying to achieve with any proposed "upgrade"?  The Rega setup you have is very balanced and a good performer.  To do significantly better would require a substantial investment.  But that would then trigger a new preamp and probably new loudspeakers plus a new power amplifier.  At that point you'd have to get acoustic treatments and power conditioners.  And don't forget cables!  Like I said, your existing analog setup is very balanced.

I personally would prefer a small dedicated audio room for my system than the enormous compromises made for a common room. Some of the most amazing systems I have heard have been in tiny rooms. The great thing is that you can purchase higher quality gear of lower output and with room treatments and setup achieve MUCH better sound in a small dedicated room.

Upgrading the preamp is good advice, and you won’t understand why until you hear one that is significantly better than the one that you have. I.e. avoid a lateral move. I vote for the small dedicated room, with a carefully selected system it can be really good.