I am planning on purchasing my first deal in the next year and I would like to get some advice. I live in Ottawa, Ontario and I am looking at doing a house hack.
I want to buy a bungalow and convert the basement into a Secondary Dwelling Unit. Ideally, I want to find a property that has already had the basement converted, but I am not opposed to finding a property and going through the process to have it done myself.
I am looking for some insight from anyone who has done this, such as costs to convert basement into a 2 bedroom, 1 bath apartment. Also any information that will aid me in getting started. Thanks in advance.
@Zach Theberge you will almost always come out ahead if you find something that is already done and then remodel it. Finishing a basement into a unit will end up giving you a lot of issues. You will probably run into zoning issues first of all, but then you also will need to run all new mechanicals. Your plumbing, hvac and electrical alone will cost quite a bit.
I would focus on finding something with the correct setup from the get go. Then you can learn the business and focus on making money instead of trying to learn to be a general contractor as well on the fly.
@John Warren thank you for the great information John! I agree with you and I will look for exactly that.
I agree with John. Although it is doable to convert and make a profit, it can be expensive and a lot of work. A lot of people who do it are either contracts or experienced individuals who have a lot of personal sources to keep costs low and to do fast renovations.
I recommend looking for a good deal that may be a bit outdated. Therefore you can do some easy work (floors, paint, etc.) to spruce it up and attract tenants! I did this on a triplex last year and worked great.
If you have any questions, feel free to reach out to me! Always here to help. I also may be able to refer you to a RE agent who has experience in investment properties and renovations. I can also help with securing financing and getting the best mortgage specifications, for increased cash flow!
Hopefully we talk soon!