Code folding of one line functions

agreed. code folding: good. not being able to fold 1 line functions or xml nodes with 1 child: not so good

You can use the Ctrl+k, Ctrl+<n> (<n> being a number) to fold the whole code until level n (0 to unfold).

As an alternative, that is.

I completely agree. I was able to find the comment folding package but nothing that would allow me to properly fold by levels regardless of number of lines..

Bump. Very frustrating indeed.

You can fold functions in any language that uses some kind of single-character container for a function. For example the {} in JavaScript, BUT to do this, you need to tab out the closing container character: