Roscoe,

You're in luck! DC's Dept of Consumer and Regulatory Affairs (DCRA) JUST released a site dedicated to owners who want to rent out a basement unit in DC! http://rentmydcbasement.com/

They have info about how to get licensed, a checklist for what inspectors look for to make sure it is up to building codes, and links to resources for more info.

It's a work in progress, but a great place to start!

My husband and I rented out the basement of our townhouse for almost a decade and had mostly great experiences with our renters. One thing that we learned was that, while this is your home and not your primary job, you must still always have on your "property manager" hat.

Also, some people were a little leary about living in the same building as their landlord, so be sure to have as much distinctions in space as possible. We were fortunate to have a separate entrance so the interaction between our main unit and theirs was minimal.

But, overall, it was a great experience and we really enjoyed the extra income that we could put directly towards our mortgage.