Why do you think a lender might overlook less than perfect credit for a borrower with a large down payment?

A lender may overlook less-than-perfect credit for a borrower with a large down payment because the substantial equity reduces the lender's risk. A large down payment demonstrates the borrower's financial commitment and ability to save, which can indicate responsible financial behavior. Additionally, it provides a buffer against potential losses if the borrower defaults, as the lender has more collateral. Ultimately, the combination of a sizeable down payment and other factors may make the borrower a more attractive candidate despite their credit challenges.