Pre Rehab appraisal question

[Forest Rainwater]

Question for those who have had pre-rehab appraisals done for financing a combined purchase/rehab loan. I know they're going to be estimating the ARV for once repairs have been done, but what would you supply the appraiser with to explain everything being done to the property? The financing company said they send them our construction budget, but the budget doesn't explicitly show what materials we are using, which are going to be on the nicer end. Would it be over the top to create a detailed plan of repair to hand to the appraiser when they come? Just curious what other people have done and had success with. My biggest fear is the appraisal coming back low because the property looks pretty rough at the moment as work hasn't started. Thank you!

[Caroline Gerardo]

Sounds like your lender isn't detail oriented or is not including rehab costs. Typically you provide a cost line item sheet, plans, specs, breakdowns. This is prepared by a contractor or if you aren't using one the lender needs to build the information from YOU. If you are doing laminate floor or hard wood it should be itemized with the cost and type of material.