That would certainly work. The only downside would be if either of us ever decided not to pay, or couldn't pay. Then the other would be stuck. But it would be the easiest way through. I'm thinking if we do each of the financing deals with only one of us on the paperwork (as long as we qualify), and then do the quit claims, that might work ok, too.
We can ALWAYS back up to talk about the kids!
I think that they will not be surprised. I think they will be relieved and disappointed at the same time. I think that as long as we can keep things "functional", they won't be totally crushed. But, I need to be ready for anything!