Home renovations - add a bedroom or bathroom

[Ryan Wydler]

Good Evening fellow Financial Freedom seekers and Real Estate Enthusiasts,

I have heard Brandon talk about looking for "hidden value" in his rental properties such as finding a home with more than 1,000 sq ft because he knows he can likely convert some part of the property into an extra bedroom (maybe going from a large 2 bedroom 1 bath house to a good size 3 bed 1 bath).

My market (Richmond, VA) seems to have a lot of 3 bed/ 1 baths available at a modest asking price with the asking price hiking up nearly $25,000 in some cases for the coveted 3 bed/ 2 bath layout.

I'm curious, in general, what does the Bigger Pockets community think of converting a 3/1 into a 2 bed / 2 bath layout? Anyone who has done substantial renovations, what does the process entail? is it worth the cost? I don't see many 2/2's on the market; however, i know that the demand for a second bathroom is high for a long term rental. 

Let me know your thoughts, I am excited to network with the community!

best,

Ryan Wydler