You trade off ROE for the ability to sleep at night.

If the seller takes banhruptcy, the bankruptcy trustee can offer the property for sale to that optionee as agreed, which would ususally be the case since the court will not be out to overturn any prior agreements if it is not necessary to protect other creditors.

There are a lot of ways of evalauting a potential commercial RE deal:Return on Investment (ROI)Capitalization rateYield CapitalizationFloat and DesireCash on CashDebt Coverage RatioReturn on Equity (ROE)Risk and DemandIRRCheck out the following link (from Paul Stafford) for a more detailed explanation.

For example, I use ROI to buy and ROE to sell.

It could make lenders skittish about making loans if they have to worry about some judge canceling the debt because he doesn’t like “greedy lenders.â€It could have borrowers attempting to have their loans forgiven instead of repaying the mortgage they agreed to.I would expect this to be overturned on appeal.

After it is issued, they are technically wiped out; however, they may fight you in court to get the deed overturned if they feel they were not noticed by the county appropriately.

I try to get at least 20% ROE for anything I spend time doing.

There was a Supreme Court case back in 1973 (Roe v Wade) where the court determined that the mother has the ultimate right to choose.

Point is, if you don't know the basics, COC, ROI, ROE, GRM, Cap Rate, get some education some how or you are going to learn the hard way.

I'm not familiar with ROE Trans at all.