"Off in their hip" is about how an animal's hip is built. All livestock, whether they're for breeding or market, have hook and pin bones in their hips. Ideally, these bones should be level for the best look. If the pin bones (the ones toward the back) are lower than the hook bones (the ones up front), then the animal is considered to be "off in their hip."

From a design and balance viewpoint, being off in the hip isn't the best look, so it's seen as a negative. But it's important to remember that it doesn't necessarily affect how well the animal can do its job. So, while it might not win any beauty contests, an animal that's off in the hip can still be a good performer.
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