I do not see a path to refinancing and see the better option is to sell the property.

Yes you can, you're just selling like any other sale.

@William Taylor so many options...Use your RE knowledge to: WholesaleFind rental deals to sell to investors locally or here on BPStart leveraging your personal contacts to build your sales businessFind a motivated seller willing to do seller financing:- Move in worst room or basement, rent out all the other rooms for max cashflow- You could even live in the basement and STR the rest of the house

If you have any equity in the place, then try and sell it. 

This is great if you are force appreciating the property and then moving in for a year, and after selling or renting it out. 

Use 1031 Exchanges to Defer TaxesIf you’re selling a property, a 1031 exchange allows you to defer capital gains taxes by reinvesting the proceeds into another property.

Can we DSCR out of this to get our money back out or will I need to sell it to get our $136k total investment out?

Is there a way to transfer the loan agreement to my name or try some owner financing/selling strategy?

This leads you to really having to target buyers who are looking for the home as a private home and not selling onto another rental investor.

 If you start selling houses in Virginia now 2.5 years from now your business would be humming along.