Adding a Second Bedroom, Increasing Sq Footage

[Patrick Senas]

Hello BP!

I have my first purchase, a duplex, under contract and am looking to close by the 18th of August. I chose this place because the back unit is enclosed in a 6ft brick and wooden fence with a private yard. It also has a large attached covered patio / open air living area that has a basic roof and partial walls and windows. The entire patio is around 11' x 41'. Its decked out with ceiling fans, water & gas hookups for W/D, and electric outlets.

My options for this space is to either convert it to a studio or 1 BR,  or just add it as a second bedroom to the back unit. I haven't checked the zoning of the lot but a 3rd unit may not be the right option (legally). Adding another bedroom would increase the total square footage of the home, which would add value along with an increase in property taxes. I'm looking at holding long term but as an exit strategy, if I had to sell I obviously want the added value. 

What would you seasoned REI vets do? 

1. Go through the permitting process

2. Hire a GC and do the work w/o a permit

3. Hire subcontractors direct w/o a permit since most of the structures already there.

In my inexperienced opinion, the minimal work required is to close the space by adding onto the exterior walls. Finish ceiling. Add a wall for the BR. Add a closet. 2 exterior doors, 1 interior door. Remove a window and patch it and to add an egress window. 

I've always been told that as long as licensed contractors do the work to code then even if I don't get a permit now, when I do apply I wouldn't have an issue passing inspections.

Thanks!!

Pat