We used a HML (really before transactional funding was a household name among investors) to secure the transaction with the bank and flipped it the same day to an investor who wanted to live there temporarily then move onto another home/project.

At least temporarily.  

Quote from @Joseph Gozlan: Quote from @Brandon Hicks: Quote from @Joseph Gozlan: I don't know the man and have zero skin in that game but I read the article and I don't see a scam that hurts investors here..."...Among those is Onofrio wiring funds from his company to investors’ accounts to temporarily increase their assets when they sought financing from banks.

Having your own cash avoids the need for transactional financing - which can weaken the 10% targeted returns a few points, and that is the only reason for building up your own capital supply.

As long as it was a long term buy/hold I would see what you can do to get it temporarily out of commission.

I'll be damned if my offspring will weaken my financial position.

Could those temporarily lower my credit rating? 

The virus has weakened to the point where the only ones that will be seriously impacted are those with weakened immune systems which is the norm for all viruses. 

It would be easier to convince a relative to let them move in temporarily if they know they'll have their deposit more quickly.We were forgiving of minor stuff and just counted our lucky stars if they at least mostly emptied it out and didn't leave a giant pile outside and it wasn't in unreasonable condition inside. 

unless directed by the law, or to satisfy your ego, or just weaken yourself in negotiations there is no other reason.