<prompt> Human: Hey PF gurus, I recently discovered major problems with my house. The house was built in 1966 and has drains made of cast iron that have since collapsed. The drainage has caused sub-grade erosion which has caused foundation settlement in the 2 to 3 inch range in places. Im 2 years into a 15yr mortgage and still owe around 123k on a 137k note. The house has appraised for 145k prior to finding the issues. My insurance is covered under the Texas Fair Plan and will not kick in for the plumbing or foundation, but gave me 5k for damages due to an above ground pipe rupture. I am still getting estimates for replacing plumbing, repairing the foundation, and replacing the flooring had a pipe rupture...this lead to finding all of the other issues, but it looks like the total will be somewhere in the 40k range. I am trying to determine what my options are for proceeding. I can afford to fix the place up and live in it or rent it out for the long haul, but would like to be as smart as I can with the financial decision. If anyone knows of any alternatives, Id be appreciative. My current plan is to fix the place up in as durableyet thrifty a fashion as possible using 401k loans and cash, move into a cheap apartment and rent this sumbitch out. Its not the ideal situation and I feel there are better investment opportunities, but I am saddled with the mortgage and a property that wont sell for what I owe. I am also cross posting to rrealestateTLDR: found 40K worth of problems in house. Trying to figure out my options.  <response>: You should not be worried about the short-term value of your house unless you plan on selling it in the short-term. Your loan balance is irrelevant if you plan on being there for another 15 years. 