Bankruptcy Looms, Refi Home?

[HadEnuff]

I have been getting some quotes to refi our mortgage to get a better rate (currently at 8.5%) and lower the payments. My situation is such that short of a major miracle, BK will be the only option and soon. My question is should I persue the refi now (our credit isn't that bad yet) or should I wait until after the BK?

Thanks.

P.S. This forum really helps reduce the anxiety. I'm glad I found it.

God Bless!

[EdytaHome]

How much equity do you have and how much can you borrow.
If you can fit within your exemptions and keep the equity in your house, you should just file BK and get rid of the CC debt. Understanding of course what consequences follow a bk...

[HadEnuff]

We have approx. 25% Equity and are looking to just refi the existing balance to reduce payments. No cash out. Current equity fits within Exemption limits. Two mortgage co. have offered a 3% rate reduction to refi $75000.00 plus costs. We are current on our payments, ins, taxes. Presently our payment runs $595.00 and the estimates for new payment would be approx. $430.00 My thinking is this, if I can get the refi done before BK then well have a lower payment and better terms. After BK? Who knows but I doubt we'll get anyone to look at us for anything less than what we're paying now so there won't be any point in refi after the fact.

Job went bye bye after 12 years when the company I worked for was sold and the factory where I was Operations Manager was closed. It's now been a year and a half. Resources are used up and our ship has run onto the rocks. I'd just be happier if I could land a job that would pay the bills but living in a small rural town there aren't any. So here I am at 40 trying to decide "what do I want to be when I grow up" My wife works and we have one child at home. We've even thought about selling the house and starting over somewhere else where there may be better employment prospects. No takers on the house so here we are trying to figure out what comes next.