Is improving an attic or basement worthwhile?

[Scott K.]

I'm evaluating a potential BRRRR property. It's a single-family, one-bedroom bungalow-style home.

The attic is fairly spacious and could certainly be converted to bedroom space. I'm wondering - are there specific requirements for converting it so that it's counted as a bedroom in an appraisal?

Also, the basement is unfinished, however it does have a washer/dryer and drop sink. Would there be any value in tiling and/or putting up drywall? It's worth noting that the water heater and furnace aren't walled off.

Should I consider either for a higher refi appraisal? Is there anything else I should consider?