Eligible improvements vary by program — FHA 203(k), HomeStyle, and VA each have their own scope rules. Generally, renovation loans fund repairs, systems, structural work, and many remodels that add lasting value. Luxury and recreational items may be limited. Ryan and Steve help you match your wish list to what your chosen program will actually approve.
Renovation loans are built for work that makes the home safer, more functional, and more durable — plus remodels that add lasting value when they fit program rules. Items often included in an approved scope of work:
Pools, outdoor kitchens, and other luxury or recreational features may be restricted depending on program and lender. We align your scope of work with what underwriters and consultants will sign off on before you write an offer.
Each renovation program handles a different project size and type. Here is how they compare for typical improvement scope.
Smaller projects — typically capped around $35,000 for rehab costs. Best for non-structural repairs, systems, and modest updates. No major structural work or room additions.
Full rehab scope — structural repairs, room additions, major remodels, and larger projects. Requires a HUD consultant and detailed scope of work.
Conventional option with flexible scope — repairs, remodels, additions, and energy upgrades. No FHA consultant required, but lender overlays apply.
For eligible veterans — repairs and improvements that add value and meet VA guidelines. Scope and caps differ from FHA; lender and VA rules apply.
The scope of work is the backbone of every renovation loan — and it needs to be right before you write an offer.
We separate must-do repairs from nice-to-have upgrades and flag items that may not fund — pools, luxury finishes, or DIY labor — before you commit to a purchase price.
Safety, structural, and system items from the inspection get prioritized. We map eligible work to FHA, HomeStyle, or VA requirements so the file supports the after-improved value.
Renovation loans need line-item bids from licensed contractors. We help you gather realistic numbers so the rehab budget in your pre-approval matches what consultants and underwriters expect.
Knowing what is allowed — and what is not — lets you negotiate confidently. You arrive at closing with an approved plan instead of scrambling to rework the budget after the fact.
Related guides to scope your project and move toward pre-approval.
Which repairs can roll into your mortgage vs. cash or a separate home-equity product.
Pools, outdoor kitchens, and other high-end items — what programs may restrict.
Timing, draws, and when work can start after closing.
Programs, calculator, and the full renovation hub.
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Eligible improvements generally include repairs, system replacements, structural work, and remodels that add lasting value — roof, HVAC, kitchens, baths, flooring, windows, accessibility, and energy upgrades. Luxury or recreational items may be limited. The exact list depends on FHA 203(k), HomeStyle, or VA program rules and your lender's overlay.
Purely cosmetic upgrades may be allowed when they are part of a broader approved scope, but many programs expect work that improves safety, function, or durability. Standalone cosmetic-only projects are often harder to justify. Ryan and Steve help you frame the scope so it aligns with what underwriters and consultants will approve.
Yes — energy upgrades such as insulation, high-efficiency HVAC, windows, and related weatherization are commonly eligible when documented in the scope of work. Some programs encourage efficiency improvements as part of rehab. Specific equipment and savings documentation requirements vary by program and lender.
Guidelines, caps, and lender overlays can change. What was allowed on a prior project may differ today. Nothing on this page is a guarantee of funding — final eligibility depends on your file, property, contractor plan, and current program rules at the time of application.
Share your renovation wish list with Ryan & Steve. We will build a scope of work that fits program rules and get you pre-approved before you write an offer.