If I foreclose, do I have to pay foreclosure and attorney fees?

If you are the one that owes money to the bank, and your note (loan) is not getting paid, the bank will keep adding the unpaid bills (including attorney costs and late charges) to the amount that is owed. When the bank then auctions off the property (or buys it to pay off your loan and then resell it), the amount that is owed includes the unpaid loan and all costs.

If the sale/auction price is MORE than the unpaid loan and attorney costs, you will get the profit from the bank (so, the attorney fees and loan payoff came out of the proceeds to you).

If the sale/auction price is LESS than the unpaid loan, you might owe the difference. Whether or not you owe the remaining balance is dependent upon whether you occupied the property, local law, tax law, hardships, and other factors.

If you are the LENDER and someone else owes YOU money on a mortgage that they are not paying, so you foreclose on it … you will probably have to pay the attorney costs upfront to foreclose, but you can usually add it to the money that they owe you. You may or may not get paid, as above, according to the value of the property.