Your letter should have a professional and informative tone, covering exactly why you're denying their rental application. In your letter, you should politely decline the applicant.We discuss everything you need to know about turning down applicants and provide a template for your convenience. Under federal law, a landlord who denies your tenant application because of information in a tenant screening report is required to inform you of that fact. We outline the top 15 reasons to deny a person's rental application. Get expert insights on approving and rejecting renters. Download a customizable rental application rejection letter template for landlords or property managers to professionally notify applicants. Here's a breakdown of when a landlord can rightfully reject an applicant, as well as some red flags that might indicate bad faith on a landlord's part. No property manager enjoys sending out tenant rejection letters. A rental application denial letter (also referred to as an adverse action letter) will need to be issued to the denied renter.