I guess in some ways I’m more horrified by the mom’s situation. 27 years in a house – and facing foreclosure. In theory – the mortgage would be pretty low if they never pulled out cash. And prices 27 years ago were pretty low.
I don’t have a problem with refi’ing to get a better interest rate… I’ve done it a few times. But increasing debt when you’re close to retirement… that makes me scared. (I’m close enough to retirement to be focused on cash flow scenarios when I no-longer have income from wages.)
