First Time Landlord - Renting out 1st Floor Unit

[Jonathan Umana]

Hello, I am a new member of the forum.

A brief background is provided. I reside in Massachusetts and have recently taken on the role of landlord for my parents' house as they have aged. The first-floor unit was consistently rented at a low rate to my family members to provide assistance. Fortunately, they have acquired a house, and now we can rent the first floor at market price.

As I begin this new journey, I would like to ask some questions that I hope more experienced landlords and investors can answer. The first floor features a two-bedroom apartment complete with a living room and a bathroom. The basement has consistently been linked to the first floor, which features an extra bathroom, a living room, and a spacious office. I am considering converting the basement by installing an egress window, which would cost around $7,000, and adding wired smoke alarms. This would allow me to create an additional bedroom and potentially live in the basement while sub-leasing the first floor. I am inclined to this option as it would allow me to return home to assist my parents and save money while pursuing my law degree.

- Does anyone think this is a sound idea? I recognize that this is a matter of personal opinion, but I am particularly interested in exploring the concepts of lease and sub-lease.
- What measures can landlords take to ensure protection while renting, and what steps should be considered prior to seeking a tenant?
-Should I consider hiring a realtor for assistance? Can I manage this myself to save on expenses?

I appreciate your assistance and I'm pleased to be a part of this community.

Sincerely,
Jonathan

[Michael Smythe]

@Jonathan Umana you can typically get away with a lot more if you are living in the property.

Example, the basement. Most cities won't care if the owner lives in the basement, they only care if it's tenants.

The egress window is also a good idea for increasing future sales price. With it, you can typically add a legal bedroom in the basement - confirm with your local municipality.