Up until now, FHA made people who filed bankruptcy or did a short sale or walked away, wait 3 years to get a new loan.

Now they have made it one year. There are restrictions, however. You must show that your situation was caused by external forces that reduced your income by 20% or more.No, you can’t quit your job or were fired.

You’re to show one year of on time payments for all your obligations to qualify.

FHA is currently the only sub prime game in town. Freddie and fannie don’t do this They require 7 years.

In general, FHA has been tightening credit rules and requiring higher pmi fees.