Its a LONG process but it will be TOTALLY worth it!  

I have rehabbed the unit with laminate/tile floors, new kitchen cabinets, etc... is it worth it to go to the next level with the rehab (crown moulding, custom shower, etc..) in this area?

Worth area.

If he's been waiting a long time the price they might have approved it at could be lower than what its worth today.

If I contributed more money to my 401k would it lower my overall income that is viewed by this rule and therefore I could write more off?

Their net worth are in the several millions, own several hotels and also sold many hotels yet they still got rejected.

The house is worth 480k with mid-grade finishes and 500k with high end finishes.You are analyzing the deal, running the numbers to determine your purchase price, etc.

I would view this as the ideal situation,  as a month to month does not commit anyone long term, but I  manage myself.

You would have to pretty much get a property for free in order to qualify.I have submitted two properties to their underwriters, and both were rejected because of last minute requirements that changed the lending criteria.I paid $2,000 (one year's worth) in order to be able to receive funding.

However on last viewing the ordinance had a lot of catches in it.