Your letter should have a professional and informative tone, covering exactly why you're denying their rental application. Download a customizable rental application rejection letter template for landlords or property managers to professionally notify applicants.Good evening, BP. I'm writing my Tenant Rejection Letter and found some reasons online as to why a tenant is denied their application. Well, you've lied on your application AND you have no income. So your application will go straight into the shredder. A rental application denial letter, also known as an adverse action letter, is a formal document that a landlord or property manager sends to applicants. I rented using an offer letter in lieu of pay stubs when I graduated. Have you actually been denied? The short answer is yes. You should always act fairly, professionally, and compliantly when rejecting rental applications.