In our current financial market, it is difficult to get a loan with "bad credit". FHA and VA will be the most flexible, but for FHA you must have a credit score of at least 620. If you have 10% - 20% for a downpayment, you may find a home with owner financing, but be prepared for higher interest rates.
I have had clients that thought their credit was not good enough to purchase, but found their credit score to be better than they had guessed, so be certain of your credit situation -- with a 620 score, FHA will finance with only 3 1/2 % down payment. You may also qualify for some special programs through the City of Austin that could help as well.
Best of luck to you. Let me know if I can be of assistance.