On August 1st, Lendinghome announced that we lend based on the After Repair Value (ARV) of your property, instead of the As-Is Value (AIV). Along with this change, borrowers are required to submit a full Scope of Work (SOW) before a final ARV is established for the property.

Scope of Work is a detailed outline of all rehab work planned for the property. It is used to determine the accuracy of the ARV and facilitate the inspection process.

A Scope of Work is required for all loans with rehab and it must be completed in the LendingHome Scope of Work template. After it is submitted, a LendingHome Feasibility Analyst will be reviewing it in detail.

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Do I have to use the LendingHome Scope of Work template?

Yes and it must be the most recent version of the template. Borrowers and brokers who have financed deals with LendingHome prior to August will need to download the template.

Where can I find a copy of the template?

You can download the Scope of Work template in two locations:

scope of work

What if I don’t own Microsoft Excel?

We understand that some borrowers may not have access to Microsoft Excel. If that is the case, speak with your Experience Manager and they will help you finalize your Scope of Work before moving forward with your loan.

I need help completing my Scope of Work template!

No problem. We have some resources to help you:
Completed example: This is example data only. Please do not use it when filling out the Scope for your own project.

Who will review the Scope of Work after it is submitted?

Two members of your LendingHome loan team will review the Scope of Work:

Experience Manager
Primary Point of Contact
Feasibility Analyst
Construction Expert

Review for completion of the following:

  • Narrative description
  • Line item description
  • Contractor information
  • “Extensive” trigger questionnaire
  • Finish quality descriptions
  • Ensure contingency is included

Reviewing the entire project, end to end. To ensure:

  • High likelihood of project completion
  • Accurately budgeted project cost
  • Sufficient project timeline

Materials: are the materials I’m using low-range, mid-range, or high-range quality?

Low-Range Mid-Range High-Range
Flooring laminate stick tile Pergo, snap custom fitted, pro laid
Cabinetry prefab laminate, mdf prefab wood custom wood
Kitchen laminate counters granite counter marble counters
Bathrooms fiberglass shower inserts tile shower surrounds
Appliances enamel stainless steel Kitchen Aid, Viking, Wolf

What is an extensive project and why does it matter to my loan?

A project is extensive if it answers yes to any of the following questions:

  • Adding square footage?
  • Performing structural work?
  • Performing foundation work?
  • Relocation of appliances, gas fixtures, plumbing?
  • Replacement of a major component? (e.g. – cabinets, bathtub, or bathroom tile)
  • Does the property have any natural or major disaster repairs? (fire, mold, etc)
  • Does construction cost on the property exceed 50% of the property purchase price?

Projects deemed extensive have the following implications:

  • A Licensed General Contractor will be required to manage the project for Access and Standard level borrowers
  • A Feasibility Analyst will have to verify the General Contractor license, please be sure you complete this section of your SOW, to avoid delays.


Your LendingHome team is available to help. Reach out to your Experience Manager if you have any questions about your loan or are ready to submit the next deal.