Need urgent advice, please.

[Robin Cochran]

Purchased a home with owner financing in SW Florida. We had a closing and are the owners of the home just as if we went through a bank. We have been here nearly five years. The terms included a balloon payment, but the owner let that slide, and we continued making monthly payments. Then decided we wanted to move, so we started updating the house and put it up for sale. I am in the middle of a kitchen remodel (it's one of my specialties). I am painting the exterior of the house and doing a little cosmetic work (updating fixtures, interior painting).
What is owed and what it is worth is more than double. I was working on cleaning up my credit due to identity fraud and was going to refinance the house and pay off the balloon payment. I got a lot cleaned up, and things are going well with the credit. Then after over 5 and a half years I got laid off from my job. Yea, I know perfect timing! Then out of the blue now the[owner financier] wants the full balloon payment, or they will enter foreclosure. No idea what started that. Anyhow, a lot of work has been done to the house already. We are doing the work ourselves, unable to afford to pay contractors. Plus, it's work we can do on our own and contractors never show up. We don't have much work left to go, but now we were just served papers demanding the balloon. So now I am freaking out. What I need is a short term refinance to pay off the balloon, complete the remodel and sell the house. The market is warm here for sellers and prices are rising. I am terrified of hard money loans. So much interest, I can't get a regular refi now that I am unemployed. The remodel is no more than 30-days to completion. I just need to get the small balloon paid (> $55,000) and get the house sold. Then I can repay the loan.

I am not looking for a mentor or a list of lenders. I just need to be pointed in the right direction. I have no clue about this sort of thing.

Thank you, for any ideas or assistance you can provide. I don't know what to do; I am a total wreck.