I find the debugging and testing process pretty slow with AWS SAM so I may have to try this out when you have a Node runtime.
Or maybe I'm missing something?
Looks like they're starting a Pro version that requires signup/payment.
LocalStack is great tool but the difference here is that MerLoc runs your function in local against real cloud services with the same credentials of your real AWS Lambda function. So there is no AWS service simulation, mocking or local implementation here.
We also have developed another debugging tool to debug AWS Lambda function on remote AWS Lambda environment from your local IDE: https://www.serverlessdebugger.com/
It doesn't support hot-reload but very useful for debugging functions.