Lots of people believe that they will be unable to get a mortgage if they have bad credit, poor credit or a low credit score. That isnвЂ™t the situation. The important thing is equity. You need a large down payment if you want to buy a home. If you’d like to refinance your house, you want a large amount of current equity. With bad credit, it is hard to obtain a home loan for longer than 80percent for the worth of the house. There are numerous urban myths circulating as to what home loan organizations enables and whatever they wonвЂ™t allow in terms of bad credit.