My question involves a mortgage in the state of: California
Long story short, my Mother-in-Law and Father-in-Law purchased our house for us because we had some medical issues and expenses during that time. Since then, they are now divorced and do not speak. We had my Father-in-law dropped off title an my wife and I were added to the title. So now it reads my Mother-in-law, my wife, and myself on title. During the past few years my wife went through stage3c breast cancer and had to go to 3 different hospitals, have multiple surgeries, chemo, radiation, etc and is now alright. My daughter was diagnosed with Kawasaki disease and has had to go to 5 different hospitals ending with Stanford. Because of this we had to claim bankruptcy due to huge medical bills. We tried to charge off the house because we had been making all the payments on it since we bought it 8 years ago. My lawyer thought that would prove our ownership and have the debt dismissed. However, it was not correct and they original mortgage holder refused to reduce the rate for us to be able to make payments. It has now been sold to a new mortgage company and the house is going up for sale at the end of the month (we haven't paid for the past year because they refused to lower the rate and we didn't have the cash to pay the mortgage - I was also unemployed for 6 months last year). So now I have a strong job in the same field I have been in for 12 years, I make about $100k, and am wanting to see if my wife and I should ask to refi with the new mortgage holder? Or if we should try to tbid on the house when it goes up for sale? Or if we are even able to do anything since we have a 1 year old BK? Remember, my wife and I are on title, but not on the loan.
Thank you greatly for any suggestions or help.

