Renovating a house to rent and other advice

[Randall Wildner]

Hello all!

Just purchased my first home to live in at warren, mi 48088! it is a 3 bed 1 bath w/ unfinished basement 2.5 car garage.

I want to rent out the remianing two rooms and live in the third one. The house needs to be renovated and i am wondering what the best stratgey is used to renovate a house i plan on renting currently and in the future.

Average price point in the area is 110-120K and average rent rate for a 3 bed 1 bath is about 1250-1000

Currently the kitchen is outdated and needs renovations. The bedrooms need the carpet removed and the hardwoods redone allong with a fresh coat of pain.

Also im wondering if i could put a room in the basement and rent out the three bedrooms. Has anyone done anything like that?

Any other advice you would give someone just starting out with a rental and living in it at the same time?

Thanks!

[Max T.]

@Randall Wildner and @Jim Adrian@Mike Freidenberger.

Lots of people sleep in their own basements even if they are not technically/legally a real bedroom due to the issues raised above. 

There would be a liability problem with renting out the basement space as a bedroom to someone else. If the owner is the one sleeping down there - no problem.