Answer: -Check with your local housing authority for possible assistance. However, even if you obtain down payment assistance, there are many lenders that will not approve any mortgage loans with bad credit and such a huge housing shock. Mortgage loans are based on the borrowers willingness and ability to repay as demonstrated by the current and previous credit history. There are no more sub-prime lenders that I am aware of in today's market below is a website designed for potential home buyers to see what is needed to get loan approval. -Don't lose hope if you're looking to buy a home. There are so many different ways to fund a home now, just about anyone with any kind of credit can get into a home, regardless of credit situation.Of course, some will cost you more money in the long run, but a home it's still one of the best investments that you can make, so, in many cases, it's worth it, especially for the first year of ownership.You should shop around, and ask different lenders what kind of programs they have, and if they can help. Try to find a lender that specializes in bad credit mortgages. You can find some bad credit mortgage lenders listed on this page on and off: