Investor’s corner: possibilities to cash flow your house.

Posted February 16, 2010

For those that already own a home now, there are many ways to tap into the potential of your house for present and future profit. Here are just a few tips  to treat your home like an investment property:

¨       Adding square footage- With prices on labor so low, it’s a great time to add to the footprint of your home.  If price per square foot in your neighborhood is higher than the cost per square foot to add on, this may be a wise investment for you.

¨       Remodeling unfinished space– attics and basements can often be converted to living space fairly inexpensively.  Done right, a basement can be converted into a rentable unit of its own.

¨       Adding bedroom by converting existing space.  Some houses have extra large bedrooms, living rooms, or odd dining areas that can easily be converted to bedrooms.

¨       Lot “confirmations” and lot splits.  For homes on large or with multiple tax lots.

¨       Adding an accessory dwelling unit (ADU) or a “detached bedroom” on your property.  Perfect for  caring for retiring family or for rental income.