Of all the threads I have read here, yours is the one that tears me up the most. You, just as myself, are a good husband and father that has nothing but good intentions. You and I both know that our marriages can be saved, but for that to happen, our wives need to have an awakening at what they are doing to their family and finances.
The difference in our situation is that you moved out and I stayed with my kids while my W moved out. I feel that I am in a good position now and that my W is feeling some misery. My W moving out has also established for me some legal leverage for custody of my kids if my W ever files for D.
I can understand why you moved out and you cant go back in time and change that decision. However, you should definitely try your option #2 where you move back. Dont give her the option of choosing - it is your house too and you are the one paying for it. Once you can get back in, and she does not like it, she should be the one to leave. I know it could get ugly, but I think you need to be real firm and make a stand for yourself.
Strength and Honor - Strong to do the right thing even if it hurts YOU and Honor to ALWAYS do the right thing EVERY time.