I received an email asking me for an opinion on whether it would be wise to refinance a mortgage that has under 10 years left on it back to 30 years to free up money to pay off debt. With the below circumstances described, what would your advice be?
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 fi