It is raining new and better low-end Lumias now. Lumia 505 with 8 MP camera has been revealed on Nokia Mexico’s Facebook page. Only other thing seems to be confirmed about the device is this may be running WP7.8. Also looks wise,it shares some design elements with Lumia 810.
Also as informed on the page, this device may be exclusive to operator Telcel in Mexico. We need to wait till the next week for more information.
Thanks Sami for the Tip!!