You need to check to see exactly what the homeowner means by an "FHA" loan. FHA does have a program where a homeowner get the loan based on what the house is worth "after" all renovation and work is completed. But you may not get paid until the loan is made which could be months to a year or more. And you will be dealing directly with FHA inspectors and tons of paperwork.
You best find out in advance.
"The American Republic will endure until the day Congress discovers it can bribe the public with the public's own money.
- Alexis de Toqueville, 1835