Help if you can I made a mistake

One of my used to be successful friends sold me a 3 family house in Springfield, MA 2 years ago.
He at the time told me to get a first and second loan that was adjustable and he would give me $20K case back. After we would just refi to a fixed loan because that what everyone was doing because as you all know the market was a different place. Well unfortunately he died ( it was a sad day he got hit by a car) 2 weeks later. Needless to say I didn’t get the money and I was completely lost on the refi. So now I have a house that I owe $200K on the house is worth $150K in this market. With the rates where they currently are I am still making money on the house but they want to adjust it up to 13% for each loan. I have excellent credit I believe its around 780. I just don’t have even close to enough money for the refi because of the huge difference in loan amount to house value. My loan is through HR Block so I do not qualify for Obama’s plan I don’t believe. I really just want to get both loans into one and get a fixed mortgage. Anyone have any ideas please let me know. I would be so great full to anyone who can help me out.

Have you tried calling H&R Block to see if they would be willing to renegotiate the loan? Based on what you have described that is definitely your first step.

I have tried to do that and they said that because I was ontime and never missed a payment they do not want to do that. I have even escalated to a manager they told me to miss some payments then they could help out.

I don’t think missing a few pmts. is a good idea. You’ll pay for 7yrs. by higher interest rates due to the blemish on your credit report. You may have take money out of your own pocket to keep things going until the market improves so you can sell or refi. Keep asking around to different lenders. I work in Springfield, Ma. and the home values have taken a nosedive. Even if you have to pay $400/mo. until you can get out of this loan it’ll be worth it in the long run. Good luck.