Breaking Not So Bad
When you unlock the merchant (Completing his quest) or are importing a character, go to the blacksmith hit Y, RB 3 times, then hit A on something or just hit Y. Achievement unlocked.
Must be a damaged item for anything to show up and be repaired.
To find the blacksmith look for a guy with an Anvil next to him.
Video was done by UKxJOK3Rx.