The 203K Streamline loan is used for repairs not in excess of $35,000. So most non-structural repairs can be done with this loan. The 203K Standard loan is used for repairs over $35,000 covering structural repairs and other major home renovations. The down payment on both the Standard and Streamlined can be as little as 3.5%, like other FHA loans.
The number of inspections needed and reimbursement schedule will depend on if you have an FHA 203K Streamline or 203K Standard loan.
For the FHA 203K Streamline, you will have one inspection at the end of the work, and two checks. One in the beginning of the work, within 7-10 days from your closing date, and one at the end, after the work and inspection have taken place.
For the FHA 203K Standard, you will be one check at the beginning, 30 days after your closing date, and up to four inspections with further disbursement checks to follow each inspection depending on the findings.