203K Loan 50% Issue

[Joshua Smith]

Hi all, 

I am gearing up to purchase a preforeclosure or foreclosure with hard money, and then refinance into a 203K. 

The main issue is that the four unit properties I'm looking at need a lot of work - probably $200K-$225K. I will likely be able to buy them for around $300K-$400K. I understood that non-streamline 203K loans provide up to 50% of the loan for repair, which would mean that the max I could get would be $150K-$200K. Is this the case, or is it "up to 50% of ARV"? Any insight would be very helpful.

Thanks,

Josh