For many people holding the property and refinancing out equity/forgoing the 121 exclusion makes more sense froma  numbers POV. 

  $4k to get $17K and significantly higher interest rate (more than should be expected for going from 15 year to 30 year).Normally I recommend refi over HELOC for long term use or unknown duration use (because HELOC are traditionally variable rate). 

It needs some touch-up but I'm trying to understand the first place to start for going about the job.

Patience is a good thing.. and Kudos to you for going it alone!! 

Income Source: Salaried/hourly W2 and have been with my company for going on 20 years.

Some people will forgo the luxuries for the security of having a roof under them.

I would rather them do it all, but they WILL NOT forgo the termite contingency even tho it'd only be $500??

If you don't go insurance route and decide to pay out of pocket, you're forgoing the tax benefit.I can't speak to the increase in rates but I think you should be able to talk through this with your insurance provider.

I am quoting phrase from Biggie Smalls song."....

@Brad Swarm Your logic for going MF seems very solid.