<prompt> Human: My parents have roughly 500K in debt they cannot pay. Their house is worth 700K and there is 275K in equity. We are trying to avoid selling the house outright. I dont have any debt or own a house rent currently and make 90k a year. Is there a way I can take a loan out for the owed amount using the house as collateral? thanks.  <response>: What kind of half a million dollar debt needs to be paid off immediately? If they do go the bankruptcy way, they are better off not selling the house. Primary residence gets protection, to some degree. 