We plan on living in the house and doing most of the fixes and renovations ourselves.

Then plan a date to actively start looking to buy.

I plan to use a HELOC but would be interested in the thoughts of others in BPs on this approach or recommendations if there are other ways to financing that I should consider.

Explain your situation and see if there are payment plans or hardship programs available.The BiggerPockets forums have threads on tax liens and foreclosure prevention: https://www.biggerpockets.com/forums/41/topics/766025-surplus-funds-unpaid-taxes-in-foreclosure-saleAn experienced real estate attorney can advise you on your legal rights and explore potential solutions.Have you spoken with your local tax authority yet?

If the house has a septic system, especially if it's an older one, it's worth the investment to have a septic inspection done.This concern is particularly relevant for those planning to buy and hold the property rather than simply fix and sell it.

Only thing that has happened is that remaining tenant is paying both portions so there is no eviction.I'd speak to the remaining tenant and find out what happened and what is the plan moving forward.

Then, if you’ll indulge me, I’d love to pitch an alternative idea that might align with your goals—especially since you’re 3+ hours away and planning to use a management company.The Good: Renting to college students can be a goldmine for cash flow.

So instead they throw away there $$$ on program after program, guru after guru, trying to find a way around the things that there is no way around; Time, Energy and Focus.What is a STR? 

Maintenance and potential repairs will also require a long-term financial plan and setting aside a contingency fund for such expenses.The steady cash flow, appreciation over time, and tax benefits can make a meaningful difference to your wealth in the long term, especially with the principal paydown on the mortgage.However, if managing the property from a distance feels too burdensome, or if you’d prefer the certainty and flexibility that comes with having less debt (especially given the high mortgage rates), selling and using the $100,000 in equity to reduce your loan for your next home may be the smarter move.

Have a solid rehab plan and execution strategy.Expect the Unexpected – Always have a contingency fund (10-15% of your budget) for those surprise repairs.Flipping can be a game-changer if done right.