Brand new to Bigger Pockets and Real Estate investing.

[John Schneble]

I've been listening to audiobooks on my commute from Tacoma to Seattle. A huge change for me as I normally drive in with no radio or anything on. Unfortunately my wife and I are going to be getting a divorce and she has moved out. It's been two weeks. Friday will mark three weeks since she's moved out. So now I have the house and I want to convert the upper floor into a rental. I'm a Union Carpenter of 30 years so the demo and remodel of the house isn't going to be a problem. The financials are pretty straight forward. We don't have kids together and she's already taken half the savings. Fortunately the loan is in my name so she only has interest in the collateral. So if I can pay her half the equity (via a HELOC) then I feel like this could be an opportunity to have a rental while still living in the downstairs floor. I am in the pricing phase of getting quotes for a new kitchen downstairs. I wanted to join this site to learn what I need to learn to make this a positive result from a bad situation. While I process the grief of a divorce I want to stay focused and try to make this my segway into RE investing.

[Ryan Coon]

Hi John,

From a legal perspective it would probably be a good idea to cross a few t's and dot a few i's as you prepare to convert a portion of your current home into a rental. First, you may want to sit down with a family law attorney in your area to confirm that you're thinking through the division of assets issue correctly. Especially in a community property state like WA, it's often not as simple as who's name is on the asset. It would be unfortunate to put the work into this property and then subsequently lose it to the divorce.

Second, you will want to do your homework on zoning and other possible restrictions on you renting a portion of the property, including any possible HOA restrictions. I've seen too many investors acquire or reno a property for a purpose that is not actually allowed by local zoning or other rules or by HOA restrictions so it would be a good idea to make sure your ducks are all in a row here before getting to far into the planning process.

Note: This information is for educational and informational purposes only and does not constitute legal, tax, or financial advice. No attorney-client, fiduciary, or professional relationship is established through this communication.