Is garage conversion to make a second bedroom a viable option?

Question

Hi All, thanks in advance for the feedback.

On a 1 BR duplex, Is garage conversion to make a second bedroom a viable option to increase rent and ARV? Thx, Bruce

Frank Chin · Answer

@Bruce Archer

Just a few more thoughts. I understand @Nik Moushon frustration.

If you're n the process of acquiring the property, don't want to risk $150, the other way is the visit the City Planning department in most areas, and zoning is usually part of city planning. They can tell the procedures and the processes involved, as well as your chances of getting approved.

I'm not as negative at the folks at city planning, not because my wife worked in it for a while, but often they have a good reason to deny it. The chief reason is such disapprovals, i.e. converting garages to bedrooms, converting basements to apartments is that it will lead to increases in population, more than what the area is planned for. Besides the obvious ones of no room in schools, traffic, there's ones not often thought of, not enough electricity in the power grids needing more transmission lines, or water pipes to supply water. In a neighboring county, they temporarily halted issuing permits for new construction because the power grid is at capacity.

I bought a rental with an illegally converted basement, and another with a converted garage, and with the basement apartment, try as I may, no chance of legalizing it. Though it's not in an HOA, there's a local housing group that strongly opposes such conversions, and show up at all zoning board meeting where variances are voted on, express opposition, and it will be voted down. After moving to the area, I spoke to the president of the group to ask why and he advised the schools cannot handle any more children. He's right, when my girl attended the local middle school, and they have classes starting as early as 7:00AM and as late as 6:00PM. Then, as of two years ago, a new school was built next to the grade school and middle school, all a block of one another. The local group and it's leader was pushing it for years.

For me, if they deny my approvals for an added unit, it's easy, a 3-plex is built to a different standard than two. So I converted the illegal unit to an office, filed plans, and it was approved. I didn't need a variance. New offices will not result in more students at local schools.

Rather than being upset at the local housing group, I got to admire what they tried to do. We had local car dealers running out of space, parking client cars on local streets and on sidewalks. He called the borough president, got into the papers, and the shamed car dealers promised to behave. The could have their business licenses revoked. He got funding for a local playground where my girls enjoyed when they were toddlers. When it was reported this retired president of the group succumbed to Alzheimer, now in a hospice, I contributed to his "GoFundMe" page.

If you look at real estate investing where your properties exists within a wider community, where rules are made so all can enjoy the area, maybe you'll look more favorably on those hard nose bureaucrats.

And then in the neighboring suburban areas, where for years they resisted adding units to SFR which is what these areas are zoned for, they now allow adding mother/daughter units where folks could house aging parents an emerging problem. Reason cited was seniors don't add children to local schools,nor add that much to local traffic. As you can see, most of these decisions are based on housing and it's effects on the local community and economy.

Frank Chin · Answer

I bought investment properties where garages had been converted to residential spaces, and that I wanted legalized. The process may be the same from place to place, but in some areas retroactive permits and approvals means fines, penalties and back taxes.

Had an architect in my area come and review from a building code standpoint. They had windows installed in the garage for this rec-room/bedroom, however:

1. The windows must be large enough for egress and had to be changed.

2. Roof beams suitable for garage, must be increased in size for residential use.

3. Adjoining enclosed breezeway from house to garage requires footing.

The walk through costs $150, and also requires a variance meaning a public hearing and zoning board approval. Some architects do the approval and zoning part, some don't, which means you have to hire expeditors in addition. The $150 was the cost in my area a few years back. Sometimes you skip the zoning hearings if what you do is "as of right".

Paying the architect is most cost effective because sometimes it's not possible to meet building codes due to the way the building is constructed, so you won't waste anymore money on it. They should know the building and zoning codes in your particular area.

Many people in my area does these conversions illegally. I bought a rental where such a conversion was done, illegally and not reported, was found out by accident, and the city ordered me to revert the building back to it's original plans. Hired an expeditor who happens to be an architect, and also happens to be a friend of the assistant building commissioner who overruled his staff, allowed new plans to be filed. Otherwise, I had to demolish what I had, then file plans, pay fines, and finally build anew from scratch.

Bruce Archer · Answer

Thanks Nik. Great info. I'm learning, thankfully not the hard way, that you have to ask the bleeping government what you can do with your own property first. It would seem to be a no-brainer on the benefits but I will make sure it's possible.

Bruce.

Nik Moushon · Answer

You need to call your city and see if its even possible. I know of several cities that have outlawed it or put such restrictions that it becomes such a pain that most people don't do it. DO NOT buy this property unless you are 100% certain that you can do it. Or at least you can make sure the number work with out it.

Bruce Archer · Answer

@Frank Chin

Wow. Thanks Frank. Great information. I don’t own it yet but I’d  have to add another Bedroom to make the project worth it.

Bruce

Is garage conversion to make a second bedroom a viable option?

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