I would definately get another lawyers opinion.
Filing Chapter 7 vs. Chapter 13 depends on how you do on the means test. In your state there is a 'median' income that you must be below to file for Chapter 7.
Im a total amateur here myself. I make a few thousand more than you but am in over my head as well and my house taxes are killing me. I retained a lawyer 8-12-08 and am filing chapter 7 sometime in 12-08. I am surrendering my house, vehicle, and boat. Good riddance! Im going to get a fresh start with my chapter 7. I would try very hard to go under chapter 7 if I were you, due to your income and debt.

