The only real obstacle you have to deal with is zoning. Your property may be in just a two family area and a 3 unit property is not allowed. You will need to call the Hillcrest zoning or building dept. and get this cleared before you do anything else. The conversion of the lower level will require permits since many items will come under building codes. One significant item is the fire code for egress. If there is only 1 stairwell to the lower level you will need and egress window that meets code. Meaning a maximum of 42 inches above the floor and a minimum of 5.7 sq. feet of opening. As an example a double hung window, opening at the bottom half, would need to be 2 ft. high and 3 ft. wide.

Dennis (cut2it)

OK.... Your in great shape for what you want to do. I didn't realize from your initial question that you had a "walk-out" basement situation. I suggest you begin the process by calling in three (3) remodeling contractors. Be specific with each of them on what you would like done and have each one follow those guidelines. Choosing a contractor does not begin with the price quote. First is licensing, bonding & insurance. Next is years in business and experience in the work to be done. Next is references that are not too old to be checked. Lastly (and still before price) you need to decide if you "like" the person. Do you get along well in communications? Is his/her personality compatible to you? Appearance ? Professionalism? etc... Decide on all of these and then go over the prices. If the contractor you like is a little higher then you tell him you would like to choose him but his pricing is a little beyond your budget. Ask him if he could "tighten" up his numbers a little or just come right out and tell him he needs to come down "X" number of dollars.

Dennis (cut2it)

PS.. If this is still not helpful or addressing your question correctly just get back to me with your specific question(s).