What is the purpose of the list of locations on the right side of the Town Map (Not the World Map)? I thought they were "clickable", that by clicking on them you were taken to that location. However, all it does is show an interior view of the selected location. It looks like the only way to find a location is by using the flags along with an appropriate note. Is this correct?

If you have Co8 mod installed, you can click on the signpost near the Welcome Wench tavern, and it will give you a list of most town locations. Clicking on those will teleport you to the building.

You could also use this map or this one to find where u want to go.

Otherwise the only way to get around quickly is to use the world map and u see that Homlett has 3 entry points: East, Central and West.