Garage apartment income for Mom

[John Reeves]

Hi guys

My first post, be gentle. I’m going to try to be astute, Im fairly new to this game and can’t seem to find a similar situation to compare to but I think with a little guidance I can tweak my perspective and simplify but I just need some guidance.

My grandmother left me her property, there is a 900ish sq/ft single family home where my mom lives, a garage with 800ish sq/ft apartment that I hat is in severe decline, and a trailer slab on the property. Seems like a pretty good little spot to start some rental income! The house is paid for so right now it just costs me maintenance and property taxes to keep it up. My Mom, can barley afford her bills and the place is going to continue to decline obviously so I think I have her convinced to let me Reno the garage apartment. She doesn't like the idea of putting a trailer back in. I think I can squeeze a 2 bedroom out of it. I got a few estimate ranging from making it livable 60k to making it wicked nice 90k to knocking down and starting fresh around 115k. I'm thinking about taking out a mortgage on it, one bank said they could do 100k just based on an old tax appraisal. I'm having trouble finding comps since it's so rural and not many properties with that unique set up to figure out a good ARV. The usual game plan for the BP guys is to eventually sell and I really want to keep this in the family so I guess I need to play this more conservative then a usual method I've read so much about. I don't know.

I’d love for this place to generate a little money to help mom get through her golden years but REALLY don’t want this place to cost anything to keep. How do I make it do that including accounting for it towards my income tax? Thanks for any advice in advance.