Apple Keychain and iCloud Keychain - need strategy

Hello everyone,

Life long Mac and iOS user who has been happily dependent on Keychain - and equally passionate about NOT using iCloud Keychain. That said, 98% of my passwords have zero reason to be stored on iCloud, and intentionally do NOT want passwords sync'd between devices.

WORKAROUND

[Enter stage left] Next we have HomeKit, and in order to use Home app you are FORCED to turn on iCloud Keychain and you ZERO CHOICE what passwords are or are not stored/synced w/iCloud. This created a huge problem and the only way around this problem was to create TWO Apple ID's, one dedicated to the home network and the other the day-to-day normal Apple ID. I would then share my home w/myself (from Apple ID Network to Apple ID Personal.) This allowed me to access my HomeKit devices without being forced to sync or store sensitive passwords online. [Exit stage right]

NEW PROBLEM

[Enter stage left] The above solution, while at the cost of some convenience and features, worked well for years. This HomeKit on my phone suddenly stopped working...stuck on 'Loading Scenes and Accessories' type card. HomeKit works fine on the primary HomeKit device. Fair amount of trouble shooting, signing in/out, deleting reinstalling etc etc. iCloud > Home is enabled, while iCloud > Keychain remains disabled. Confident the issue is the fact that iCloud Keychain remains disabled. Toggling this on comes at the cost of ALL passwords syncing to other devices and being stored in iCloud.

NEED

Interested in a discussion around strategies that allow me to return to using Home app from the phone that does NOT require 1) turning on iCloud Keychain, 2) subscription solutions, 3) ideally not require use of any third party software. The developer has always branded itself as customer choice and privacy, and yet all these years later zero are reflected in how Home app is managed, force feeding an all-or-nothing service of sharing all passwords to use Home app. Yes, this feedback has already been shared w/the developer so no need to remind anyone. Request we keep the discussion focused on alternatives and workarounds, with intention to avoid discussions challenging the preference of keeping passwords out of iCloud or merits of Apple encryption.

Hopefully there are misconceptions on my part and I expect there are others here who have similar perspectives and/or have found work arounds.

Thank you everyone!

Related posts:

Saving passwords WITHOUT iCloud Keychain. - Apple Community