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I got almost the same situation. My wife and i were trying to buy a house and were renting from her sister at the time. Her credit was poor and my credit was fair and we did not receive the loan. she was obviously devistated and took it out on me. She started picking arguments telling me to leave and talked about a divorce. After we agreed to work things out, she got her move out plans in the works anyway! within months she got some of her 401k money and bought new furniture with it. Mind you the furniture we had was stuff that i already had from my apartment, so that stuff got thrown out. She then worked out something with her newly married sister about her sister's other place she was renting in Northern Va. (we lived in Maryland and she works in D.C.). All the while i'm thinking things are getting better with the relationship! On April 6th she informed me she was moving out and i had less than a month to find a place to live! At the time i had loans to repay and was flat broke with not enough credit to get a reasonable place. So here i am with a place i got by taking another payday loan i couldn't afford waiting for the car to be repo'd and getting a letter for child support! I know this doesn't answer the question but i just wanted you to know there is people in the same waters your boat is floating on and i'm sinking fast with no daylight in sight! If anyone knows an answer to this please shed some light as to what to do!