Curiously, if an investor has LLCs with business credit such as credit cards, LOCs, etc. when the lender pulls the borrower's credit do they also pull the LLC debts to calculate personal "net-worth" or do they just use FICO data, etc?

My post isn't meant to argue your idea, but more to contribute additional thoughts to the discussion.Thanks for the response and the discussion.

The argument is for an additional $35k you would gain an additional $20k on sale.

Any additional info about your experience with a recent conversion, unexpected cost, and potential timelines you would like to share would also be greatly welcomed!

The guest had brought additional guests than they listed on the reservation, doesn't respond to my messages/concerns, left my front door wide open when they left. 

I hadn't considered that they may be rolling in those additional items into the percentage. 

I have no debt/mortgage, house was purchased nearly 40 years ago and was long paid off.

Highly recommend getting additional inspections (termite/mold/foundation/roof) if needed to assess the condition. 

House hacking allows me to buy a higher valued home.So, if real estate appreciates 5% per year, then a $500,000 property will have $138,000 in additional value after 5 years.

However, for higher-value investments, like a $4M multifamily property, the additional protection offered by separate LLCs could justify the costs.