Does anyone have any experience with this or advice on moving forward or declining?

Quote from @Paul Azad: Don't know anything about them but per my calculations they are taking 27.2% of the capital appreciation on the New Braunfels deal at the end per their projections which seem optimistic in this oversupplied environment, (Austin MSA with largest new multi-family projects coming out this year in the country ,8% of total existing stock and already seeing rent rate declines of near 10%in the city so far) and they are taking a big chunk of the monthly cash on cash as the preferred payouts for their 3 different classes are well below the projected cash on cash total.

.- Also, most of their policies have this little-known clause that states if the property is vacant for more than 30-days, they can decline any claims!

Figure out which area declines least in a downturn.

Obviously - you have to make sure the other homes are actual comps and dont drop for no reason, but if rentals dropped, you've got to meet the market.Maybe I wasn't clear in my response but I generally agree with a rent cut to preserve occupancy in a market with declining rents. 

If so you can't target Voucher Holders over tenants who pay their own rent, nor can you avoid/decline them simply because of their voucher.Here in Maryland, where I am licensed, Source of Income is a protected class so I will not opine on the pros/cons of the programs.

If you are flipping, consistently track local market trends (like those on Zillow) https://www.zillow.com/home-values/24115/cleveland-oh/ , because if your market is declining, you must build an equity wedge into your purchase price to avoid being over-leveraged; this cushion ensures you take the loss, not the lender, should delays or cost overruns occur, protecting your capital and future funding access.

The Anecdote: In 1929, during the height of the bull market, Kennedy was getting his shoes shined when the young boy shining his shoes began offering him stock tips and discussing the market with confidence.The Realization: Kennedy reasoned that if a shoeshine boy had an opinion on stocks, the market had become dangerously popular and saturated with inexperienced investors.The Action: He supposedly decided to sell off his significant stock holdings shortly before the Black Tuesday crash in October 1929, thus preserving his family's fortune and profiting from the subsequent decline.

Many declines have nothing to do with the borrower, just underwriting boundaries or regional risk models.

If that can't be done, I usually decline the deal.