I too think sell of 1 house is best option, other method consists high risk of losing more, if you die2 wanna keep the 1st house then sell off the one VP soon, settled your personal loan with the profit you made.

Why keep an empty house not renting out nor live in ?

I can only says you can't afford both house with your current income.

I would give up the first house as 850K is quite high even if it reaches 1M on day it's quite difficult to find buyer, then you have huge surplus to play with, unless you intend to live in it near future.

Now you paying for nothing apart collecting dust & spider webs,...LOL

Talk to wife would she rather you go bankrupt soon ? Quite sure she understand.

Keep the 50k for emergency lah ! 50K really nothing nowadays, already you over indebtedness still wanna Hantam till zero saving meh.