Balloon due on 2011 - Please Help

for some reason my previous post on here was removed. i do not know why. perhaps it was an accident so i will re-post.

data:
mortgage 1: $190,000 (7 year balloon that is due 04/11)
home equity: $105,000
total: $295,000

the property is currently empty and live in my wife's house. the house is on the market for sale and worth what i owe (zillow stats $322k). my bank account and pay stubs have my new address. if i can not sell the house, i will have to re-finance. the bank sent me a statement to contact them if i want to re-finance in january. i am nervous because it is now considered an investment property and i don't have any equity in the home.

i did learn that the mortgage is through pnc and freddie mac. i also know they have home affordable refinancing program but i am not sure if this is capped at homes at $250k. does anyone have any experience with this program?

my biggest concern is that the bank won't refinance due to there being no equity in the home (although harp allows up to 125%). my next biggest concern is that my refinance rate would be so high since it is an investment property and i would not be able to make the payments.

any advice for my situation if i can not sell the home would be greatly appreciated. i really do not want to do a short sale or foreclose for obvious reasons.

thanks

emerson