is 3400 sqft too big?

[David Wolber]

Hey BP, My wife and I are looking at a REO that is a beautiful Victorian house that somehow has managed to remain a SFR. I of course have to convince the bank to sell it 50k lower than they have it listed for, but I'm wondering if it is too big for a SFR investment property.

I haven't toured the house yet, but I think it also could easily be adapted to a multifamily with an exterior stair access or perhaps an interior one, but have to look at it However, it is also in a real nice neighborhood of old SFR just like it, so I'm hard pressed to want to ruin the outside appearance with a stair case.

Sooo...

First question - is a three story, 4 bedroom, 3500 sgft house too big to successfully rent in the SFR market?

and

Any thoughts on the math on converting a SFR to a MFR and ensure the numbers would work? I'm thinking anilizing it a bit of a hybrid and looking at it with just reno cost in the front end, but multifamily unit for potential cash flow on the back end?