I was hesitant to say no to these people as they seemed polite.I sent an email with my regrets today declining their application siting low credit as a reason.

An experienced builder can make houses that way without a very large premium(construction costs rise, but HVAC costs decline to compensate somewhat.)MG

They are all different, one deal could get declined at TD, while the same deal could be approved at Scotia.  

We have quickly realized why the BRRR strategy is awesome for being able to scale faster.It will be some time before we have enough cash to buy a property in cash and fund rehab costs.However, with the renovations we did on our primary residence and the increases in the market, we could probably access around $100k of equity thru a HELOC.I understand the risk of having the HELOC maxed out when the market starts to decline, but what about just using it as supplemental funds for acquisition/ rehabs and then paying it mostly down after refinancing the properties..any negatives?

@Josh Collins I agree with your assessment - I think that as interest rates rise and loans dry up prices will flatline or decline.

I grew up there and where I actually bought my first house in 2001 (for$83k and sold for $115k in 2005 before the decline really hit). 

2) Can I decline to change the lease?

I've noticed that home prices have declined or appreciation has been stagnant.

We got back on the market early June & got a full-price offer, but it was a double-contingency & the buyers had a situation we weren't comfortable with, so we declined them. 

Should they get such an offer, then they can decline mine with no penalty.