Logistics with converting SFR to duplex

[Keith K.]

Hi Everyone,

I was scanning deals today and noticed a single family property that I thought might be a good candidate to have a seemingly redundant living room converted to a studio apartment.  Can anyone provide some advice about this kind of conversion and how cheaply/simply it can be accomplished?  For example, I imagine I could go as far as creating an entirely separate kitchen and bathroom for the studio unit and its own exterior door, but could I do as little as locking off the living room as separate quarters with the existing living spaces, kitchen and bathrooms as shared areas?  And does a studio space like this need to have a separate exterior door?  

Are there established rules about what constitutes a real studio apartment versus just advertising rooms available in a house?  Or is this all grey area and up to the comfort level of tenants?

Just trying to get creative with maximizing rental income possibilities without being a slumlord.  

Thanks!