Garage Airbnb Rental

[Rob B.]

I am remodeling my house, which includes adding a second bathroom. Since that will extend into the garage, it got me thinking about converting the rest of the garage space into a studio apartment. In two years or so, I am planning on purchasing another house and renting out this one , and it occurred to me that I could rent out the house for about $2,300 and a studio garage apartment for $800-$1,000/Mo. The short term option is to try to furnish it and rent it out via Airbnb. It has a separate side entrance and we could move the side gate so that the backyard is still ours. A few nights per month would certainly be some extra cash from the house and we have the right to stop any time we don't want to do it anymore. Then when we rent it out, we'll have a higher cash flow and we can sell it for a higher value because of the in-law unit. 

The property is in San Leandro, CA. It's currently a 3/1, we're turning it into a 3/2. The garage would be about 200 sq ft. Also, anyone with thoughts on garage remodel would be helpful. The short term money would be nice, but it's the long term rental and the resale value that's appealing. I'm not looking to downgrade into a duplex by renting to someone long term.