Chase told me that they will focus mainly on the property's financial and borrower's net worth and liquidity.

It's at that point the borrower doesn't have enough cash to do that, and the lender forecloses on the property.

Then borrowing from your HELOC at 4.5% will save a significant amount of interest.

FHA loans are designed for primary residences and require the borrower to be an individual, not a business entity.

Although I wouldn't suggest this and you don't need to do this, most lenders have a due on sale clause and this could be triggered (altough low probability) when transferring title out of a borrowers name. 

Quote from @Pearse Cafiero: You want to borrow money to buy a house, but you don't have the downpayment.

Another user noted in a PM, some of the exposure numbers are incorrect in the case that a borrower has blanket loans (many of these upper tier borrowers do).

As someone who lends and also borrows private money, I know how important trust and transparency are in these deals.

This is probably a place where you go to one of the personal loan sites to borrow money or maybe a credit union. 

(I know, nothing is certain but just hypothetically) and all cash out loans are not created equal. if you have a lot of equity you can borrow up to 60% with the lowest rate possible, which would be close to a half point lower then borrowing up to 75% loan to value.