The structure for buying homes has become a lot more flexible in recent years and now days it’s actually easier than ever before to buy a home with bad credit, or even other things such as cars and boats. Sure you WILL pay more and your interest rates will be higher so you’ll definitely won’t get the best loan rates but the point is that it’s not a total dead end if you have a bad credit history – there are lenders who will still approve you for a home loan.
Examples of situations where you could find yourself in trouble would be if your FICO score is really low or perhaps you are self employed and cannot provide proof of your income or tax returns.
One possibility is to do it under “lease options rent to own”. You don’t need to have a great FICO credit score, it can be 400 or 500 and you’ll still be able to use this option. The thing about ‘rent-to-own’ is that the playing field is level, it really doesn’t matter if you’re earning less than 50k or 200k a year – with this scheme, it’s all the same.