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Updated over 12 years ago,
Attic Apartment
Any advice on converting attic space into an apartments?
I have a side by side duplex, and am toying with the idea of converting the attic space into a single studio apartment.
The current duplex numbers are 50K mortgage with a PITI of 595/month and a current value of about 110K. One unit's rent covers the PITI.
I need to verify zoning... however, many neighbors have already done similar conversions. Most of these appear to have been very poorly executed.
The available space after creating proper wall heights yields about an 800 SF studio unit. It would have some interesting character -- there are currently dormers on all four sides, and a large brick chimney within the space that I thought I'd leave exposed. I could likely get 750/month.
One down side: this would require an exterior stair (at one of the dormers)......so I'd also appreciate your thoughts on such stairs as a safety/ability issue. I live in Iowa, so there would be plenty of snow/ice.
From a technical viewpoint, I have a decent understanding of what would be involved with structure, MEP, building envelope issues, finish work, etc. -- I work in the building industry. Still, any thoughts in this area would also be appreciated as well. Some of you have undoubtedly done this before, and I have not.
I can pretty easily create an accurate estimate of all involved costs to build the unit. However, I'm DEFINITELY no expert on real estate financials... I need some advice on whether it would likely even make sense to do this renovation. What are your thoughts on construction budget limitations? I'll be holding this property long-term, and I'd need to see the unit making money after a reasonable payback period.
I welcome all input -- thanks in advance.