Even before the recession hit, many homeowners had run out of rooms in their houses to renovate. So now with the economy slowly recovering, where are they looking to improve? Up. As in the attic.

According to a survey by the Home Improvement Research Institute last year, one in five respondents said they planned to finish an attic room in the next few months. What s more, the cost of attic conversions has risen 36 percent in the past five years, to nearly $50,000, according to an industry study.

See the challenges contractors faced while renovating attic spaces

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But converting an area of the home that was never intended as a living space into an office or guest room can pose some challenges, from flimsy floors to drafts. Here, five contractors spell out some problems--and solutions--they encountered in recent attic renovations.

Cost: $100,000
Developer: Graf Developments, Dallas, Texas

Challenge/Need: To create a media room for Houston couple John and Debbie Vice, remodeler Bruce Graf needed to take several basic steps. He reinforced the existing floor with 2 x 12 lumber, then soundproofed the room by adding several layers of extra insulation. To move the leather chairs into the attic, Graf cut an opening in the wall of an upstairs bedroom, created a special door, then hid it behind a full-length mirror.

Cost: $200,000
Developer: JM Bogan Remodeling, Seattle, Wash.

Challenge/Need: When Bernard Jalbert and Carole Jones wanted someplace to take a break from their live-at-home 20-year old, they asked Michael Bogan to convert their Seattle attic into a sitting area that could double as an office. To maximize light and offer views of the Cascade Mountains, Bogan added dormer windows and skylights and replaced the decade-old roof, integrating it into the roof of the garage.

Cost: $20,000
Developer: Victor Lisabeth, Traverse City, Mich.

Challenge/Need: The Traverse City, Mich. homebuilder had been planning to convert his empty attic into a family overflow space, complete with a walk-in closet and kitchen. But when the economy soured, he decided to keep his son downstairs and rent out the attic to earn extra cash.

Cost: $300,000
Developer: Solo Construction Services, Southport, Conn.

Challenge/Need: To renovate the Civil War era barn, contractor Bahman Azarm of Solo Construction mixed contemporary lighting with old-fashioned design, even saving the old rafters. Owners Merril and Bob Adelman use the space for weekend relaxation.

Cost: $200,000
Developer: D&J Kitchens & Baths, Sacramento, Calif.

Challenge/Need: Before the renovation, Sheila and William Nolan s attic was a jumble of old trophies, stuffed animals, weird nooks and crannies. Contractor Darius Baker converted the space into a media room/ guest room, complete with a bathroom, laundry room and custom California Closet drawers and cupboards built underneath the eaves.