Ideally, saving you the most money would be to do everything you can to continue on the path you're on, and finishing out the terms on the personal loans while also not raising your mortgage payment. While reducing your overall monthly obligations by $2400 a month in the short term, you'd want to consider whether the additional interest paid over the life of the mortgage is worth it. That would be in a perfect world, but when is anything perfect. (I know, I know... thanks Captain Obvious)
For some people, financially there is no option, something has to get done. For others, the peace of mind of a lower monthly obligation is worth the price. You could always put some, or all of what you're saving in monthly PL payments towards the mortgage. You could put some (the more, the better) of that money into an HYSA, or other investments, and come back to knocking down the mortgage down the road in a year, or two, or three...
It's your life, and you know it better than anyone. You have to do what is best for you to live as stress free as possible without hurting yourself too much financially both now, and down the road. Whatever plan you find that accomplishes those things the best, and you're comfortable with, is what you should do. Just my 2¢
Best of luck!
Have you looked at opening a HELOC?
The interest on the money you draw from it would be higher than doing a cash out refinance, but it wouldn't affect your existing mortgage, and would almost certainly be lower interest than your personal loans.
Depending on the interest rate, you would likely be looking at minimum payments below $700 per month on $56k during the draw period, which would go lower as you knock down the principle.
While you would certainly want to make much larger payments than the interest only minimum payment to knock the principle down, it would give you a lot of flexibility you don't have with a fixed term.
Info on the current mortgage rate would be helpful ... flying a little blind in offering advice without that.
However, given that rates are at a recent all-time high right now, I would hate to see anyone refi for the sake of debt consolidation. HELOC's aren't particularly cheap right now either, but at least they aford the flexibility of accelerated repayment vs a mortgage, which can save you a bundle. Further, if rates decline significantly down the road (fingers croseed, and likely) refi'ing the HELOC can be done at minimal cost compared to another mortgage refi.
The one thing is that, depending on the lender, you may not be able to get as much out of the HELOC as you might a mortgage. It's a YMMV situation, where some HELOC lenders will only go to 60%-70% total debt/value ratio (including underlying mortgage). You may have to shop around to get he money/credit line you want.
So ... no discussion of whether a HELOC has been contemplated? And if it's been discounted as an option, why? It's light years better than a mortgage refi ...
