what do you do with your leads with they can afford to make the monthly payments but just cant qualify for conventional financing?

Hold on to them and help them fix up their credit. Most people just dont know what steps they need to take to fix their credit up. A short consultation normally helps. Of course you want to keep in touch with your clients on a consistent basis to make sure you dont lose them.
Another scenario is getting them into a lease option. During the lease period of the plan, once again I go back to helping them fix their credit. Once the credit is fixed they can choose to purchase the house from the current owner.