Can I Use an FHA 203K Streamline for a Health or Safety Issue?

The correct answer to this question would be that "it depends".

In some instances, an FHA 203K Renovation mortgage can be used to satisfy health or safety issues. The FHA 203K Streamline loan allows for an initial disbursement of 50% of the repair costs. As long as this initial 50% disbursement is sufficient to complete the health or safety the issues, then an FHA 203K Streamline can be used. If 50% will not be sufficient, then an FHA 203K Consultant mortgage will be needed.