This is a great opportunity! ...I think.

1 Reply

Hey everyone, 

I'm in a situation that is above my experience level and I need help! I'm looking at a SFH to owner-occupy and rent rooms out to individuals (students, military, etc). I saw a recent opportunity that I requested a showing for. It was in great shape despite a few minor cosmetic repairs. It had an unfinished attic that could easily be finished into an extra bedroom to add an additional source of income. The only major issue was to access the only bathroom the tenants would have to walk through the master bedroom. This wasn't going to work.

The SFH was listed appropriately at $130k, but the seller would be willing to go as low as $120k to help offset the cost of adding an additional bathroom to the first floor that would solve my problem. Would a bathroom on the first floor be an issue when I resell the house down the road? Would it cost me less than $10 to add a bathroom where the porch was that is attached to the kitchen? (6x10 area)

This is would be my first deal in real estate and I want to confirm with BP that it would be a smart decision to send in an offer. After all the repairs would be done I could cash flow $300 while living there for free along with increasing the equity of the house by finishing the attic and the additional bathroom. I need assurance to take the leap. Thanks for the help! :)

Hi Langston! It sounds like a good deal to me, especially if you're house hacking it. Having 2 bathrooms vs. 1 will certainly increase the value and help it to sell faster should you list it down the road, as most buyers are looking for a 3 bd 2 bth house.

If you're running new plumbing to the enclosed porch area for the new bath, that'll be your biggest expense, but for a bath size of 6x10 you should certainly be able to do it for less than $10k.

Did you go through with the deal?