Thread: So is it still possible to get a mortgage with bad credit?

Just curious from you mortgage gurus out there since there has been so much news lately of banks going out of business.

Yes, though much harder. You better be able to verify your income as well or have a lot of money to put down.

The avenues are limiting for people with bad credit. However, there are still plenty of mortgage programs allowing little or no money down. Most of them require that you exhibit some sort of credit management by paying payments on open debts for 12-24 months on time and never 30 days or more late. Some exceptions still can be made to this.

As most lenders are trying to show that they're lending responsibly, the opportunities for getting a mortgage with bad credit are substantially less than they were 2-3 years ago. Time is a healer with these matters though, e.g. if the bad credit is from the past and you've demonstrated that you've been a good borrower more recently this will help. The lenders that do offer bad credit mortgages usually require a large deposit.