I'm having the same problem on mine. I don't know if mine is do to ignorance tho. I'm 1 week old using DNN now, but i'll share my experience out here and see if it makes a difference.
1. Installed locally on my own computer to get the dnn parent module to work, (used 4.4.1 since the install is botched for 4.5.1)
2. Got it up and running with a few modules installed. Went rather well. NEVER CHANGED LOGIN CREDS
3. Attempted to move it to my webserver. (insert hell breaking loose)
a. Had issues with the webserver itself... for somereason system.web.dll (2.0) was missing from the assembly. reinstalled .net 2.0
b. The database that I specified during setup was not actually located in the app_data directory, it was actually located in the program files/mssql/3.0/data directory (or something like that). moved the database to the webserver, added it to the web.config, restarted the whole server for good measure and crossed fingers.
c. This apparently worked, and DNN finally had the right parent domain working. I'm guessing tho, since the site works, but the login does not, that it's a Database permissions thing somewhere on the server. It's reading, but it can't write to the database. But I'm just as lost.
In a nutshell, thats where i'm at right now. Can't login as host/dnnhost or admin/dnnadmin. I know the database works, it just can't be logged into.
If there are any SQLExpress experts out there, let me know if you can think of any problems that might come up when you move a database from server to another, if there are any permissions you have to reset on the database to make it work in a different environment.
~Thanks
~Doc - Krushradio.com