Help: Should We Refinance Our Loan For 30 Years?

[questions]

My husband and I (25 years married) are in debt to the IRS for $13,000 and to the state for $4,000. We have been making payments of $325.00 and $350.00 monthly for the past 8 months to IRS. My mortgage is currently $2,200.00 a month with a 2nd mortgage of $20,000. The first mortgage has a balance of $148,000 and is to be paid off in 8-9 years. I also owe school loans totaling 15,000.

My question is do I refinance my home loan for 30 years? The finance rate is not known at this time.

It will pull enough equity to pay off IRS bills giving back 675.00 a month.

We have been truly suffering through this debt. We have no savings, no 401K nothing in reserve at all. We filed bankruptcy in 2004 and are cash poor and thank God credit card poor (we have none)

What should we do that would make the most sense. Should we continue the 8 years and continue to suffer -

I have 1 car loan with payment of $350.00, utilities runs around $1,000 for everything including phone service, lights at 225.00 month etc...

My husband says he wants to continue to pay - off the existing loan because he cannot work another 30 years. Is he looking at this wrong. Isn't the only main deduction anymore just the mortgage interest?

[Fern]

What is the rate on your current mortgages? And you need to find out what the rate would be if you refinanced. Perhaps you could refinance and do it for a 20 year loan instead of the standard 15 or 30.

[Hot dog]

I think a 30 year mortgage on 300,000 would be less then 2200 a month So I would think you could get a 15 year mortgage for that amount on 150,000-190,000 and always pay more if you want to get it to 10 years. punch in the numbers on a mortgage calculator