Why are 203k interest rates higher than FHA interest rates?

[Amanda Thomas]

In the process of applying for FHA loans and came across the 203k product. (House needs some rehab that I'd like to roll into my mortgage instead of being out of pocket). I was quoted an interest rate for the FHA loan of 3.25% and an interest rate for the 203k loan of 4.75%. Big difference for what I think is essentially the same product.

Is this usual? Does the higher interest rate for a 203k take into account the risk associated with lending for renovations? 

Thanks a bunch!