I'd say, if your goal is to be mortgage-ready in a couple of years, bankruptcy right now is probably not a viable option.
Credit repair services, in general, don't produce any results you cannot achieve on your own - you can make copies of letters and mail them to everyone you need something from (fixing derogs, delting reporitng, etc) just like they would. And you'll keep the $99 a month or whatever fee you would have to pay them.
You say that you're making larger-than-minimum payments on your smallest card, which is a good start. Try stepping those up by whatever you can free up - even $20 will help pay the balance off faster. Brown bagging, lots of peanut butter and ramen, skipping coffee houses, canceling Netflix (or canceling cable and just watching Netflix, even better), embracing coupons, babysitting for the neighbors, baking your own birthday cakes instead of buying them, whatever you can think of. Then look up "snowballing" to see advice about rolling extra into that card until it's paid, then rolling the entire amount you used to give on that card into the next one, etc. Two years of snowballing should get your balances down a bit, maybe not into the "ideal" range for FICO, but certainly in a better position than you're in now. Also, hit up creditors for credit limit increases if you haven't done so in a while - just don't use the extra, if/when you get it, of course, that would defeat the purpose and increase your debt load.
