It would help me to know, in working out an offer price in a short sale situation, just how much the banks face in legal fees if it goes to foreclosure. Can anyone give me an idea?
tx
dri
Of course, it depends on many things. For instance your state, the law firm, the “buying power” of the lender, etc., etc. However, just to give you a ball-park, I’ve seen $1-3k on the low end, $3k - $7k being the typical range, but I’ve seen as high as $15k for a long, drawn out foreclosure (where HO files BK, etc.)
Not that much, then, when you’re talking about a large mortgage.
Thanks for the info!
Yep, not if you are talking about a large mortgage amount. In my experience, legal fees is a function of state law for foreclosures, filing fees for that county, amount of red tape, if BK is thrown into the mix, and a general going rate for the attorneys in your area. It is not a function of the amount owed on the mortgage.