But even then I think they can be wiped in a bankruptcy. 

Has had some past "credit event" like a bankruptcy caused by a divorce, business failure, or medical issue which they need to get some distance from before they can qualify for a traditional mortgage.Rent to own's are terrible for:1.

My IRA holds a 2nd which was just discharged in Chap. 13 bankruptcy.

@Chris Mason The vast majority of my T/Bs have been newly self-employed or had a one time financial event that led to a bankruptcy.

She had a chapter 7 bankruptcy 4 years ago (that she readily informed of on application) and I'm deducing that it was due to medical from her husband. 

Anyways, I live in a house that has been taken by a bankruptcy company after my landlord filed. 

A long time GC company in my local area just filed for bankruptcy. 

Active bankruptcy or foreclosure, or one that closed within the last 12 months2.

(Investing in debt is safer than investing in equity in the same deal, because it has the protection of collateral in a bankruptcy).

I think the financing sources need to be evaluated per each investor situation; specifically, in my case, just received my letter of discharge from Ch.13 Bankruptcy in July,2018 - most of the banks won't probably waste their time with me.