Does adding a bedroom in existing square footage necessarily increase arv? We just bought brrrr house that is about 1650 sq ft. With 3 bedrooms 2 bathrooms. There’s room to comfortable add a 4th bedroom easily. I know it may increase rent a bit as well. Thanks!
It should be able to increase rent.
In my area sales price/square foot is about $35-$45 for a median priced house. I just ran an MLS search in one zip and for us, the 3 to 4 bedroom difference with same square footage actually lost sales price over the previous 6-month period. I didn't go in to see conditions or any other differences, though. I suspect it's because the 3 beds were more spacious feeling.
Check with whatever tools you have to see sales in the immediate area of the house to see what holds true for you.
@Dan Maciejewski thanks I’m working on that now.