Its not functional if you have kids and a wife who don't want to get to ketosis ..
Who's making them? Why do all of them have to eat the same way? I know, more convenient, but even so.
You it will, muscle, especially excessive muscle that the body doesn't need (which bodybuilders seek to hold onto while dieting), is a more efficient source of fuel than stored fat. The body will use the muscle first.
I don't think you quite understand how ketones work. When in ketosis, keytones become the easiest most efficient fuel source for the body to use.
According to what you're saying, muscle loss would occur no matter what type of diet you ran. If the body doesn't want excessive muscle, homeostasis, then on any low cal diet you would first burn muscle...obviously this isn't true, the body first searches for glucose, but when it becomes accustomed to it not being there it searches for ketones which are now being produced at a much greater rate. Ketone's (fats) are just another energy source, that's all.