They would not get very far.I can also tell you from anecdotal evidence from branch management, there are at least several other landlords that have a similar system set up at my banking institution. 

There is no evidence of anything driving up the price.

They have to enter in details of the animal, vaccine records, pictures, etc If they have a service animal, there is no application fee charged but they do have to provide the prescription letter and other necessary evidence.

The note is the evidence of the debt.

In my case, these were the bank's requirements:- The loan had to be one or more years old- Loan to value (LTV) 80% or less- Payments are current and no payments have been 30 days past due in the last 12 months- The loan has not been modified through the Home Affordable Modification Program (HAMP) or other modification program where escrow is a requirement- Member has never missed a payment on an item otherwise payable from escrow- The bank has current evidence of the member's hazard insurance policy- The escrow account must have a positive balance and have no escrow advancesSo it can be done. 

What kind of evidence will I get for completion of rehab and addressing inspection deficiencies?  

Per Page 45, in MGIC’s Underwriting Guide, "Rental income must be documented with a copy of a fully executed lease agreement and the receipt of a security deposit from the tenant with evidence of deposit into the borrower’s account."

Twenty-four hours is presumed to be a reasonable notice in the absence of evidence to the contrary.(9) Promptly commence an action under Chapter 1923. of the Revised Code, after complying with division (C) of section 5321.17 of the Revised Code, to remove a tenant from particular residential premises, if the tenant fails to vacate the premises within three days after the giving of the notice required by that division and if the landlord has actual knowledge of or has reasonable cause to believe that the tenant, any person in the tenant's household, or any person on the premises with the consent of the tenant previously has or presently is engaged in a violation as described in division (A)(6)(a)(i) of section 1923.02 of the Revised Code, whether or not the tenant or other person has been charged with, has pleaded guilty to or been convicted of, or has been determined to be a delinquent child for an act that, if committed by an adult, would be a violation as described in that division.

And - as MSHB provided me what appears to be the whole onboarding package yesterday (except for the credit report - if any - but I don’t want it anyway,) the page titled “Rental Verification” (and is apparently for prior landlord to fill out during the verification process) is absolutely devoid of any information.Therefore, I just don’t know how else to answer your question about whether they did a background check on this tenant, other than to say: Not likely - based on the “evidence” I have been given so far.All I can say is that, just as you stated, some of the blanks in the app, and especially in combination, and especially in combination what what I can only imagine must have been on the credit report (I am speculating, but basing on personal experience,) should have raised a number of red flags.I may or may not bring up these concerns to MSHB (probably will.)

Good software programs that give you evidence to take to court to prove that you did this and did that or said this or said that.But I do understand that each year, more rules and regulations are really taking their toll on us as landlords and investors, and is why it is extremely important ot keep up to date with your laws.Nancy Neville