Basement to studio conversion questions

[Kim Parker]

Hi there, I am in contract to close in 3 weeks on our second investment property—yay! It has some unique features that I’m really excited about. I had a few questions and hoping for some experienced wisdom. Thanks in advance!

 The property has the potential to have a studio space in the basement if we add a bathroom and a kitchenette. There is enough space to do so, and there is a separate entrance to the backyard. The upstairs has two bedrooms and one bathroom. The two units would share a laundry area. We are considering medium term rentals for this space. 

1. Are there any regulations that I should consider about renting out the studio in the basement separately? we are planning MTR, but would we have different constraints with an LTR?

2. We could add separate laundry, but there is a possibility of renting the entire house to one group for busy summer event times. Worth it or skip it?

3. The property has three garage spaces. A single older garage, and then a double. We were considering splitting the double garage in half and renting out one or both sides for storage or parking etc. There’s alley access to all garages. I have no idea how to market that or price it.… or if it’s a good idea 🤪

4. We will have a window professional come when we close and look at this… but it’s also on my mind and I would love to know more now. There’s a 24 x 24 window in the basement, but from the exterior that window is 2 or 3 feet off the ground. Would that size be considered egress or do we need to have it widened more? Also right now it’s double hung. We were anticipating needing to change it to maybe casement for egress? 

5. For utilities we are planning on footing the bill since we’re planning on it being an MTR. But there would only be one thermostat for the property. We have a Nest and can use that to control remotely or at least set limitations. For the person in the studio, they would not have access to that. Any advice or solutions? 

Lots to do and think about and I’m stoked 😊 love the potential of multiple income streams—let’s go

Thanks for any advice, and for being here for the community.

Oh, and if anybody has furnishings, they would like to sell on the cheap in the Omaha, Des Moines or Kansas City area shoot me a message. 
Kim