A homeowner in their upper 40s with $300,000 in their 401(k) is facing $145,000 in debt between credit cards and a HELOC. With a $254,000 mortgage and $400,000 in equity, options include downsizing, refinancing at 6.7%, or taking out an 8% HELOC to tackle the debt. Downsizing could be the best solution despite higher mortgage rates. Refinancing or taking out a HELOC may not significantly reduce monthly payments. Interest payments over 30 years vary under each option, with downsizing costing around $321,600 in interest. Unsure? Cut expenses and live frugally to pay off debt.

Read more at Yahoo Finance: I’m struggling with $145,000 in debt. Should I refinance my 3.5% mortgage?