For example in my area there are specific municipalities that have passed ordinances that prevent you from denying an applicant because they have a housing voucher (section 8).

I'm sure there are some slight technical differences, they won't tell you about until it is time to deny the claim.

Again they denied it.

What differentiates a category 1 and category 2 is that instead of recognizing the 2021-2022 mistakes, a sponsor denies them and instead increases their acquisition fees (3.75% last I saw) so that they can withdraw cash immediately from new bad investments in order to fund the need for capital calls in their old investments.

You will likely get one of two responses: Denied, effective November 1 if they approve the amount.Plan ahead for next year for both outcomes.

I received an email last week stating the county funds have been exhausted and my tenant was denied rental assistance. 

Quote from @Denis Ponder: Quote from @Lucas Schlund: Just trying to get a better idea as to what the financing process was like for you experienced investors, that did not do all cash. 

Texas- Houston.I had a roof claim which got denied 2 years back for no solid reason.

@David GarciaYou'll get denied for both your HELOC and your loan on the MF if you use those terms.

If you don't want a subsidized tenant they can usually be legally denied by credit.P.S.