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Updated about 8 hours ago on . Most recent reply
What to do with a Chicago granny/in-law/basement unit?
I've got a basement unit which has adequate ceiling height, lighting, egress, kitchen, bath and bedroom with light and closet. It's however connected to the building meter that I pay. That tenant which I inherited with purchasing the building is leaving, so what options am I left with?
Airbnb? Continue to rent out - but at what risk/liability? It's not in the ADU zone and not sure how much more time can be spent waiting. It could be duplexed down - but the investment return isn't there.
Looking for shared experience with this gray area.
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- Real Estate Broker
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@Asim Purses this question comes up pretty regularly in the forums. There is an added risk layer if your basement unit is not legal and you know about it. Most of these are sort of a giant greay area. Check your zoning cert from when you bought the property to see if it is included.
If it IS a legal unit, you can always add another electrical or gas meter to service the unit. If it is not legal, you will struggle to have the tenants pay their own utilities and will likely need to offer this as an all utilities included deal.
Airbnb is a whole separate animal. If your unit is not legal, this is probably the "best" way to monetize the unit since you are just renting out part of your house. It is short term.
The duplex up/down strategy can also work, but it rarely pays off if you need to do the construction.