You have promised the lender that the money is secured by real estate.

I'm thinking to get HELOC loan and was wondering if you have any suggestions on good lenders.

Any tips/guidance is of course appreciated.A few details: Looking to house hack a small MF in the Knoxville TN market, not currently connected to any agents or lenders

I've been told that the lender wouldn't appreciate this, however, if it's legal to change the LLC's ownership after closing, I'd consider it.

I have found 2 or 3 reviews for this lender a couple claimed to have closed with them.

Couldn’t find reviews for them online, but he denied requiring any nda’s. 

Material participation test, which is (for the sake of this post) likely going to be 500 hour test (500 hours materially participating in the rental activities) Please note this "managing the property manager" or traveling out to the property to look at it or just looking at investments to buy or reviewing financials in themselves do NOT count towards those hours.

We have been working with a lender that is a family friend but they are encouraging us to shop around for lenders and search for better rates.- Any recommendations on local lenders in the greater Austin area? 

Reasin being is that usually lenders will cap at 75% LTV for a cash out refi. 

Network as well and go to local real estate meet ups.For funding: you can HELOC, find a private lender to lend you 20% down, find a capital partner, or just live below your means for a little while and save till you have the 20% down (can go higher or lower than 20%, but 20% is generally required for fix&flips & BRRRR loans if not going conventional).