It was not too long ago that you could buy an investment property with no money down, little if any income or assettverification and and only a mediocre credit score. Due to instability in subprime lending, those loan options have all but dried up.
HOWEVER, if you are an investor, there are still many options for you. Lending insitutions are tightening up requirements in order to help insure their resources are securely placed. Putting 5-10% down, which with such low prices, should be easier than in previous years, will allow you to still qualify for loans.
Take extra time to check out your lender! How long has the lender been in business? Is your loan officer a "part time" lender or is he/she a professional actively working in the industry on a daily business.
When looking for a loan ALWAYS ask for a good fatih estimate, also known as a GFE. Confirm in writing the exact amount of fees you will be charged. Many lenders use verbage that more or less states your fee can range from 0- 4%. On a $400,000 loan you can be charged as much as $12,000, and it may or may not show up as an exact figure!! Double check your papers and never feel embarassed about asking for an exact fee schedule in writing.