I might have better cash flow just by paying off the HELOC and putting the $150,000 principal in a 5% high-yield savings account which has me considering selling (even for a loss) just to move on.Any advice would be greatly appreciated.

Like would it be smart to work off this list? 

Renting out the house doesn't sound like it will make money or break even every month, once you account for vacancies, maintenance, increases in tax/insurance, and turnover costs... unless I'm wrong there? 

You might find a off market priced property but use this to start doing analysis.

Now the 1st lien holder the mortgage that was never paid off, they has issued a lis pendent and starting the foreclosure.  

A few things I haven't liked about lending include the concentration of risk and the high tax rate.

If so, most lenders can remove that debt off your DTI after 12 payments have been made. 

Does anyone have a tax person they'd recommend?

My landlords like it.If you have a referral link that would be great, thanks again (: Do you recommend anywhere to write a lease?

Is she wanting to live off it with the monthly cashflow?