The contract was a simple 3 page one and I wrote this in.Also, it is a single family being rented as a rooming house (which is technically not legal here).

This is because those who househacked actually pulled the trigger and started to gain experience while those looking for strictly an investment were too focused on numbers and returns to get their hand and feet wet.You can put little money down and take advantage of favorable rates. its a no brainer IMO 

I agree with Bill B-that also keeps it really simple. 

I've handed off my LTR to a separate PM and they want to be named on a general public insurance policy for the unit, but truth be told, I feel like I need a solid umbrella policy to cover the MTR and any claims against myself and husband as the owners of the property.

There's enough to learn when you're starting out, keep it simple.

It's really simple; when ya don't know what to do or how to do it HIRE and employ those who do. 

It’s simple and it works.

If the HELOC rate gets out of hand, then go to the bank at that time.

I'm trying to figure out ways to pull some cash out, so I can make more long term investments and keep some liquidity on hand, while still keeping my expenses low. 

You defiantly want legal protection as stated by @Max Wilhite@Jonathan Bock is correct about keeping it simple.