Perhaps the most overlooked tool in the bad-credit buyer's arsenal is the "Letter of Explanation."

This feature article explores the emotional and practical journey of homeownership for those with less-than-perfect credit.

"We didn't look at houses for the first year," says David Chen, who bought his first home after repairing his credit following a failed business venture. "We looked at line items. We disputed errors on the credit report, paid down high-interest credit cards to lower our utilization ratio, and became obsessed with 'on-time' status."