Have you talked to a local real estate agent already?

Just stage it as a bedroom. No reason to remove the sliding door.

And stage a dining area in the kitchen or living room.

I have no idea what does the sliding door have to do with it. I agree talk to realtor but to me it will prbably always look like a DR and is there another dining space ??

more bedrooms sell houses, let the new owners do what they want.

Is the basement bedroom a legal bedroom that you can count in the listing?

Spend a few hours on zillow. Make a spread sheet of all the houses that have sold in your neighborhood. Look at the posting pics of the inside. How many bedrooms do they have, how much dining space, what did they sell for?

Use that info to price your house correctly. Don't get greedy with the pricing. Maybe you sell it for $10k or $20k less in the end than what you would have and you'll have saved yourself the effort of the rebuild.

Sure you can talk to realtors too. But you can probably figure it out on your own better and with more honesty just doing a deep dive on zillow and realtor.com

Can you share the floor plan and info on comps in your area? Any feedback on the idea from local realtors?

Of course we need a floor plan. My first question is the bathroom on this level is it a full one ? Is there another dining space somehwere else ? Too little info to actually answer.. Kendrah has some very good advice .

There are alot of Cape style houses around here. A stanadrd floorplan is living/ dining room, kitchen and extra room on the first floor, usually with a bathroom. Two bedrooms and a bath on the second floor. The extra room is always listed as a bedroom on MLS. It is used as needed depending on the family. Bedroom, mudroom mud room, den, TV room.

Your listing can count the room as a bedroom no matter how you used it. (in my area, a bedroom requires a closet. did you remove the closet?) A door to the outside doesnt change the fact that the room is a possible bedroom.