Something like: "We do not rent to lawyers, law students, drug dealers, <other undesirable but unprotected groups>" How do you phrase your rejection letter to a lawyer and what if that lawyer is also a member of a protected class?

Yes, good lots are hard to find now, there are some around 150k, but are undesirable sloppy lot.

If you think the neighborhood is rough and generally undesirable, that is likely the kind of tenant you are going to be able to attract. 

Even though they can cash flow, the market demographic can be very undesirable and unstable.

What I find helpful is to outline your qualification criteria (household income 3x times rent, 1 year of continuous employment, a certain credit score, etc.) on the application, that way undesirable tenants can screen themselves by not applying or if you happen to turn down a candidate, you have documentation supporting your case and why you did so.Another point in regards to your "verifiable income for a year question" is: you can have the candidate list employer references, which will allow you to contact their supervisor/manager and ask about their employment status and in this case their employment history. 

Like the South and South End of Tacoma it has many older, charming craftsman style homes but overall it's a very rough, undesirable area and the school ratings are some of the worst in the state at 1-3. 

The investors who have poor cash flow to equity typically got there due to market appreciation yet they are depicting it as though it is undesired. 

Better than my house :) I meant more the area - it's known as - ahem - "undesirable".

Also, may be land locked or have other access issues, utilities not available nearby, septic not possible, next to undesirable commercial, etc.

Mold issues, fire risk, undesirables.