"We know simulations can exist, since we simulate things, so it stands to reason that since simulations exists on earth that it could exist somewhere else. Nothing about simulations conceptually requires anything that we don't already have a scientific method for."

This is still a false equivalence. The only way this argument works as a foil to mine is if we had already created a computer simulated universe where simulated individuals were convinced it was the real world. Under those circumstances we would have to accept that ours is possibly the same. Since we have no such technology we can't say for sure if it's even possible to emulate a sapient being in a computer, it's not just "time and computational power" as you suggest.

Meanwhile the animals that prove life can exist on at least one world are walking through my apartment right now and give direct observable and testable evidence that life can evolve. Under that assessment based on observation and the knowledge of how many other worlds there are, we have no additional leaps in logic to believe in alien life. No further technology or understanding is required.

However, you have to assume that it's possible to emulate a feeling, thinking entity as computer code to make your claim. We don't know if that's even possible, which is why it's the same as suggesting a god of some variety. You're basing your entire argument on something we haven't yet proven to be real, and your claim that it's "just a matter of time and computer resources" is flimsy as hell.

Come back when Alicization from Sword Art Online exists, and then we'll talk.