Bough My First House!!

[Andy Wayne]

Hey Everyone, I just closed today on my first house...a 2 bed 1.5 bath in Broadripple Indianapolis. The house was originally a 2 bed 1 bath, but a 350 sq ft addition was put on (with the half bath). Here a couple of things that I have thought about doing to it... 1) Converting the half bath to a full and making the addition a 'master suite'. I would then consider living there and renting out the other two rooms for a couple of years to roommates. 2) There is a 700 sq ft garage/workshop (not connected) in the back. It already has plumbing for a sink and water hooked up. I have thought of converting this to a studio to rent out (or maybe rent the house and live back there). 3) Leave it all as is...update for $3000 paint and stuff and just rent the house. I got the house for $115k and as is would rent for $1300. Updated, it should rent for $1600-$1700. A studio in the back should rent for $600-$800 depending on how it was finished. Thoughts?! How best to approach this?! Thanks, Andy