So earlier this year my fiancé and I bought a house. It was within price range for that time and a very good investment. We planned to live there for 8 years, renovate it, and sell it for a down payment on our dream house. We were going to make around 80K.

Well, since then he had to quit his job and find another one. Now we can’t afford the mortgage. Unfortunately, he also had a big problem with a credit card in the meantime and his credit tanked. It’s actually pretty bad, though mine is still great.

Does anyone know if we can somehow refinance our mortgage towards a cheaper house? There’s some good ones around here but I’m not sure how they’ll see this all happening in one year. Google doesn’t seem to understand what I’m trying to ask and I can’t find anything to answer this specific question.

Apartments around here are horrid which is why we bought in the first place. We do NOT want to rent, whatsoever. Most complexes around here have been taken over by crime and even gangs.

EDIT TO ADD: I should add we should get 20K+ in our pockets if we sell our current house now. Which would help us a ton! We have a lot of equity and most of it is newly remodeled with new floors, fresh paint and is in near perfect condition now that we’ve put 7 months of hard work into it.