The wife checks out but her husband has a litany of criminal charges: hit and runs, DUI, etc. from not too long ago.Is this a legitimate reason to deny them? 

Frequently the REI/consumer applies to 3 or 5 different HELOC lenders before a credit line is actually opened -- the better rate HELOC has higher standards, so REI/consumers go through this time-exhaustive exercise of getting denied a bunch because the 4 best rate HELOC lenders denied them, it's not until the 5th that it's approved and open.

While benefiting from a great location and solid bones, and a good rental history, there is no denying that the dearth of inventory and the general frothiness of the real estate market must have played a role. 

Hello BP Community, I’m looking to take that “first step” but unfortunately when i tried applying for a pre-approval i was denied due to my hIgh debt to income ratio.

Matt - A judge once denied a fellow investor similar claim arguing that his courthouse was not the water court, but rather the rent court...So be prepared and think about that.

Have you reached out to them and they are denying you?

What sort of financing contingency to put on offers (what if my lender denies the loan based on the MFR income reported)? 

What sort of financing contingency to put on offers (what if my lender denies the loan based on the MFR income reported)?

But you do need time, the seller's cooperation, and money that you're willing to lose if you go through all of that and get denied.  

They are now being illegally denied housing