In most places, conservators must obtain court order to sell or encumber real property.Additionally, the equity may be used up by nursing home debts or your state's DHCS claims even though no liens (yet).Your other chooses might be to buy any private debts if you have any experience buying notes and foreclosing. 

My debt would increase from $360K to $525K.

Now I had no debt on most of mine so I could do that I don't know if you have a double whammy here and have debt that could back to bite you as well.I also donated my fair share of these to Habitat for Humans.. but they don't just take anything .. they don't want stuff they can't turn aroundBest of luck

@James Charles The idea behind a short sale is for the seller to ask the bank for permission to sell the house at a price less than what they owe, with the bank receiving all the proceeds, satisfying the seller's debt.

I am 29, 750+ credit score, $120k annual income, no debt outside of my current personal home mortgage ($325k).

In podcast 163, Bill Allen mentioned that there is a cap on how much total debt a veteran can take on.

Gross proceeds means any cash received or to be received for the real property by or on behalf of the transferor, including the stated principal amount of a note payable to or for the benefit of the transferor and including a note or mortgage paid off at settlement."

our loan is for 153,000, payment with tax, pmi, and home insurance is 1115/month. 30 year 3.5% fixed rate  Our additional debt is 1700/month with my student loans, small credit card debt  and our cars, we are a nervous wreck and worried about denial because of my student loans, we have pleanty in the bank for downpayment plus additional payments, (seller is paying closing) would they submit our stuff if they felt it would be denied?

I believe the refi will be difficult and only to a terrible LTV.Remember, a legal entity "stands in the place of a real person", and if you were to refi your personal home, they would be looking at your DTI.This makes the point "Does your LLC have any income to service debt?"

DSCR:-  debt service coverage ratio.