: You can qualify with as little as a 3.5% down payment .
A nationwide nonprofit that helps low-to-moderate-income families with and no credit score requirement , though it requires extensive financial counseling. Strategies to Boost Your Approval Odds how can i buy my first home with bad credit
: You may still qualify, but lenders typically require a 10% down payment to offset the risk. : You can qualify with as little as a 3
: They require $0 down payment and no monthly mortgage insurance. USDA Loans (U.S. Department of Agriculture) : : They require $0 down payment and no
Buying your first home with bad credit is entirely achievable, though it requires strategic planning and specific loan programs designed for "subprime" or "fair" credit profiles. As of 2026, several government-backed and specialized programs make homeownership accessible for first-time buyers even with scores as low as 500. High-Potential Loan Options for Bad Credit
If you are a veteran, service member, or eligible spouse, VA loans often have (though many lenders set their own "overlays" around 580–620).
While lenders often prefer a 640 score for automated approval, manual underwriting is possible for lower scores. :