New guidelines for FHA financing.
The positive news is that anyone who needs a mortgage and has a 600 or less credit score may qualify for FHA financing based on the below criteria.
Unfortunately, if you have gone through a short sale process and still have a credit score above 500, you will not qualify to purchase a new home for 3 years from the time of the short sale.
Credit Policy Enhancement: Lower Minimum Loan Scores Allowed for
FHA Purchase Transactions
The following Credit Policy enhancement is being made by Wells Fargo Home Mortgage for FHA Purchase transactions.