house equity

[timmoff]

Again I'm after advice.....albeit not strictly about business!!!

Last year I bought a house with my brother for 125k... similar houses in my area and now on the market for around 140k.

We both have debts that could do with being sorted out. I have several credit cards (from my uni days) as well as a loan. It's all a bit messy and my credit rating is awful. I'm thinking that I may suggest getting a home owner loan to free up some equity to cover our debts, and then sell the house later on to repay the loan.

Has anyone else been in a similar situation?? what do people think??

I would really appreciate any suggestions/ideas

Thanks

Tim