First deal almost done!

5 Replies

Hello BiggerPockets! I’m closing on my first property this week and I need some advice about the basement. It’s a multi family house a block away from a university. Although I will cash flow with renting out each unit I want to finish the basement so I can rent it out. What are some precautions on making a basement a “livable area”? Any tips/advice would be beneficial to me! Thank you.

Is there more than one way in and out of the basement (like windows)?  Usually you have to have egress in addition to the door.  I would have the space permitted as well when you have it finished to be sure you are doing everything to code.  Not sure about your location specific rules to watch out for, but those are the two main things that come to mind

@Yasmin Mohamed Congratulations! If for some reason making the basement livable becomes unrealistic, you can always build storage units in the basement and charge your tenants to use them, or laundry if you don't already have it. There is a lot of stuff you can do other than finishing it for another tenant if that becomes too much of a hassle.

@Dawn Brenengen thank you for responding! It has 3 windows and a separate entrance. The owner partially finished the basement. Should I get a permit before or after the construction is done?

@Yasmin Mohamed I would get the permit before it is done this way you can make sure everything is up to code when the inspector comes. 

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