If you’re like most Americans, you probably have a dream of one day owning your own home. However, financing your dream can be difficult, especially if you have bad or no credit. Most people think that you need to be eligible for a loan or have a lot of money saved up to buy a home. However, you have other options to make home ownership a reality. Here’s what they are.

Look for private money lenders for residential owner occupied homes.

If you’re like one-third of Americans, you have bad credit. One option you have for financing is through private money lenders for residential owner occupied homes. Private money lenders for residential owner occupied homes will use your new home as collateral for a loan. A private money lender is a good option for homebuyers who plan to live on the property that they purchase and who don’t qualify for conventional loans. Private money loans, also called hard money loans, can also be a good option if you’ve been employed fewer than 2 years, are self-employed, need a bridge loan, or have had a recent bankruptcy, foreclosure, or short sale.

Adjust your expectations.

One big problem homebuyers encounter is falling in love with a home that costs more than they can afford. You might need to adjust your expectations. Sure, you might want that 4 bedroom, 3 bath home with ocean views, but that might not be realistic. You might need to consider a starter home in a less desirable area or even look at a fixer-upper. If you buy a fixer-upper, you can improve the home gradually or you might even be able to find a loan specifically for your home improvement project.

Save for a down payment.

If you don’t qualify for any type of loan, you may need to save up for a down payment first. Oftentimes, having a larger down payment can make the difference between getting a loan and being rejected for one. Some good ways to save could include cutting back on eating out, skipping your vacation, or even getting a temporary second job.

Fix your bad credit.

If bad credit is the reason you can’t get financing for a home, you may need to take a few steps to get back on track. First of all, get a free credit report from one of the three credit bureaus. If there are any mistakes, fix them. Those mistakes can keep you from getting a loan. Next, make sure you are making all of your payments on time. Making late payments can affect your credit score. You should also work on paying down some of your debt. Your debt to income ratio also plays a big part in your credit score and the financing options that you are eligible for.

Get a cosigner.

You may not like the idea of getting a cosigner for your home loan; however, it may be a good option if you’re young or you aren’t willing to wait to buy a home. A cosigner will essentially be held responsible for your mortgage if you don’t pay it. A cosigner needs to have stable income and good credit. Sometimes, having a co-signer can even get you a better interest rate.

Buying a home doesn’t have to be impossible if you have bad or no credit or don’t qualify for a conventional loan. You can get a private money lender, look at fixer-uppers, save up for a down payment, fix your credit, or get a cosigner. Whatever you choose, be sure take your time, do your research, and see what option will work best for your situation.