Hello everyone

This is my first post on a real estate forum.
Iv come looking for some serious help for my family as we are in a financial dilemma.
ill break down a long story short

Mother and Father own 2 Homes
Both Mortgages on Homes are under both parents names
Both Mortgages with Separate Banks

Our Current home is worth about $550,000 (remaining mortgage $480,000) (There is Also a CMHC fee in case of mortgage break)
This is a Newer home 2008 /2500Sqft

Monthly mortgage $2700

Our other home is worth $395,000 (Remaining mortgage is $420,000)
This is an Older/Smaller Home 1989/1700Sqft

Monthly Mortgage $2100

We took a second mortgage on our older house to buy our newer home
With there current financial state they cant afford to keep both Homes and due to our recent rental NIGHTMARE we do not want to rent any of the homes off.


In this market which house is worth keeping ?
In case we do sell our older home the remaining amount would still be owing in a form of a loan to the bank correct?