@Chance Cooper @Chris Martin   Chris I unwound about 30 of these for a similar model that a group of investors did.. were they really got sideways is recording the lease option and or they also did some contracts of sale.. the end buyer defaults but won't move.. the middle buyer is fine until to many go south at one time like what happened in this case.. title company would not insure without a Judicial foreclosure  12 months in Oregon with 6 month right of redemption.. 

It's everything that comes after that especially with foreclosures, or worse, short sales: wading through seller specific documentation and the often times tedious website offer submission process, closings delayed due to title issues, repeated trips to the property for inspections, appraisals (if applicable...) etc and all the correspondence that goes along with that.I have left showings before actually glad the buyer had no interest in the property so I could cut my losses at that one showing and move on.  

The bank will have a BPO done.My question to you is why would a bank give a short sale if the amount owed is less than they would get by taking it to foreclosure sale?

"If you let it foreclose, you get nothing" ..and im sure the local HUD office would love to hear that he's collecting government subsidized housing payments while letting the house go into foreclosure.  

That can mean foreclosure, not an eviction.Just understand that option prices are not arbitrary amounts pulled out of the air as to what a seller may think they can get, today we have predatory dealing issues, it's not the Old West with options that most investors think can be done.Good job, Loyd!  

Example: Ima Squirrely had a foreclosure a few years back.

Make sure the HOA is not laddened with a lot of liabilities that can filter down to the individual homeowners i.e. lawsuits, liens, foreclosure inventory, difficulty collecting HOA fees, etc.

01/20/16Sold: Foreclosure Auction$42,50012/14/16Listed for sale$149,00007/17/17Listed for sale$99,90012/01/17Listed for sale$130,000People can read, and, they also read between the lines.

If you're looking to be as close to "hands off" as possible, foreclosures are a good choice. 

Florida courts have held that a lease with option, when broken, must go through the foreclosure process rather than eviction to get someone out.