Wholesaler · Bay Shore, NY · Member since 2009 · 359 posts · 199 votes
My attorney is asking for an up front fee or a retainer to be applied toward closing my short sale/wholesale deals. He's investor friendly and understands creative REI so I hoped he would take his fee on the back-end. I even offered that he raise his fee in return for getting paid on the back end. Also, when doing a double closing is the attorney fee per contract? So if he charges $500 for a normal closing is it $1000 for a double closing? Has anyone had experience with this?
I am an Attorney in NC who does a lot of Short Sale work. I will not touch a short sale negotiation without a minimum of $500.00 upfront to cover my search and time in preparing Mock HUD-1s. I do it within the guidelines of MARS. Whether paid or not I am still liable for malpractice and I have to pay my staff. At the end of the transaction the most I get is $1500 if the deal closes.. Its not enough to risk it for... the Sellers must have skin in the game. In most cases they are not paying monthly payment, so cash up front for what could be one of the most important settlements of their life should be a no brainer..