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There are a number of mortgage products available for you if you have less than perfect credit. You just want to be sure you are making application for the “right” loan so you don't waste time and money to receive an answer you will not like. Do your homework and learn as much as possible about the mortgage loans available to a borrower with less than perfect credit. To do this, you must first learn exactly how much less than perfect your credit report and score really are. Occasionally making a late payment on a credit card account and/or an auto loan, then catching up rather quickly, is very different from consistently missing a mortgage payment or repeatedly being late with your rent. Once you learn the facts about your credit status, you can smartly search for a mortgage that fits your profile.
What you want to avoid is wasting your time and money applying for a mortgage loan with terms you could not achieve because of your derogatory credit. Knowing your true credit situation allows you to intelligently discuss your loan options with all legitimate mortgage sources, getting the right information to locate the best mortgage terms you can qualify for without paying more interest or closing costs than necessary. The good news: You can still buy the property you want or refinance your current mortgage to generate the cash you need.