A bad credit mortgage is just like your traditional mortgage provided by a local bank, but they are available to home buyers or homeowners who suffer from poor credit, no credit, or low income. These mortgages are provided through private individuals or companies that have a more flexible set of approval guidelines compared to traditional lending institutions. Unlike the traditional mortgage lender that evaluates your credit and income, these lenders are more concerned with the property and not the borrower. Their lending policy is based on evaluating the marketability and the equity in the property. This distinct feature gives the borrower the opportunity to rebuild their credit and to begin the process to stabilize their financial situation.