Garage into Bedrooms...Legal or Illegal?

Question

Lets say there's a two car garage connected to the home itself using this property as an example: 2292 S Sherman St, Denver, CO, 80210 | realtor.com® (strictly an example to imagine)

Is it legal to physically demolish the two garage doors, build a wall, sealing any gaps, and turning it into a bedroom or livable space to then rent out to tenants?

Evan Polaski · Answer

Account Closed, you need to talk to your local building department, but typically it can be done, you just need to make sure various items are met.  In my market, each bedroom needs an egress window that has specific size requirements and sill heights.  My current renovation, we are losing a bedroom because we are moving a closet wall and the sq ft of the room is no longer 150 sq ft or larger, which this village requires for any bedroom. Often times, you need a closet.

But, again every jurisdiction is different.  The building departments are often very nice and helpful and will give you some basic info about how you can achieve what you wish.

James Carlson · Answer

Account Closed

You're just "asking for a friend," right?

What you're talking about doing is building an ADU or accessory dwelling unit, and the answer to whether or not you can build that totally depends on your city. (Plus there are other issues to be aware of.)

Your example is in Denver. In Denver, there are certain neighborhoods with more properties zoned to allow ADUs. (You're typically looking for a zoning designation that ends with a number -- U-SU-B1, or U-SU-A2, for example.) Even then, you need to be sure the lot size meets the minimum. You can have the right zoning but a lot half the minimum size, and you can't build that ADU.

Even if you can build an ADU on your Denver property, there's also the issue of whether you're living in the main house. If you are, then you can rent that ADU. If you are not living there, you are legally only allowed to rent the whole house.

Then are issues around doing LTRs vs. STRs and Airbnb, which have a whole different set of legal issues.

As with most things in real estate, I'd seek out an agent who knows these issues to help you navigate the market.

Michael S. · Answer

We just turned a garage into a 4th bedroom in one of our rentals - however, it was all permitted with the city and everything was done to current code.  It will take more time than you expect with getting everything permitted - but once it's done, the ROI can be significant depending on the area and added square footage amount.

Nathan Gesner · Answer

Yes, contact your city Planning and Zoning to see what is allowed and what the requirements would be.

Account Closed · Answer

Ahhhh, the more I learn simply just by asking around, thanks for your reply, that was very helpful in terms of guiding where to seek approvals and met conditions.

Pat L. · Answer

Always get the permits.

We saw one that had been 'legally' converted & hidden above the bare minimum height drop ceiling was the entire garage door & mechanicals for it so I assume the down track rails were buried behind the new window trim. Because it was at grade they put the toilet in an alcove 3ft above the slab to get gravity flow.

So you can imagine the rest of their rehab attempts throughout the home & why that property sat on the mkt for some time.

Gabe T. · Answer

@Jarvis Cheng

I don’t think it’s illegal or legal, more do you want to do it permitted or not.  We have done unpermitted conversion of a garage to a studio, and have rented it out.  But it can cause problems with appraisals and conventional loans.  Last appraiser just asked us to remove the cooktop to get refinanced (disconnected it and reconnected it for inspection).  If they think it’s unsafe, they can nix the whole property and the bank won’t let you borrow.

Permitting the construction will cost a LOT more, and take a LOT longer, and may not be possible at all (or make financial sense).  Yes, it can decrease the pool of buyers if you eventually want to sell, but it still happens all the time.  In some areas, it’s the only way to cash flow (California).

Theresa Harris · Answer

Yes.  check with zoning.  If the garage is big enough, you can also look into converting it into a separate self contained suite.

Garage into Bedrooms...Legal or Illegal?

Most Popular Reply