Financing a property with 2nd bathroom unfinished

[Tim B.]

Hi BP, I am under contract to purchase a 3 bed 2 bath in Atlanta, GA. The second bathroom is in the middle of a renovation and a leaky shower, the toilet, and vanity was removed. The master bath is good to go. The seller will not finish and wants to sell as is. I am using conventional financing for the purchase. I have one lender telling me it can be done with 2 options: appraise as-is, or appraise at finished value ONLY if I escrow the funds required to complete the 2nd bath renovation. I have another lender (who will save me about 5k in loan costs) telling me it cant be mortgaged as-is. He is currently confirming with his underwriters. Has anyone been in a similar situation and had success with getting the loan approved?