To my thinking the house is a done deal so unless she is going to dump it or lose it,whether or not it is depreciating doesn’t factor. If her 401k takes off …well that’s a consideration. I think the refinancing is the “bird in the hand”. This is an interesting problem , without authority, it looks plausible to me, if keeping the house for the long haul, or even beyond the break even point is practically fool proof. I guess that would include addressing potential cash flow/liquidity problems.
