1. how important is your LG credit score? are you planning to buy another house in 7 years.
2. what is market value for your house? lower than 220k? I do not think the martket value will go down further. If you can find something to make some $, then you should keep the house and not to let it default.
3. How big is the house? is it conviently located? If so, you might think rent one/two room out.
