I'm happy to see the Q&A in this area is helpful.
Marilyn, great answers below.
Rob, the 203k does finance above the value of the home BUT the buyer needs to put 3.5% of the acquisition cost+ rehab work. If those figures equal over 100%, FHA allows it up to 110% or 35k in rehab, whichever is less. However, the buyer should still be expecting to bring money down UNLESS it's for a HUD home in which you can do a $100 down HUD 203k.