Junior Lien Holder in Foreclosure Process. What Would You do?

[Xiaoyu Liang]

Got myself into a sticky situation as the junior lien holder. All the below numbers are for easy calculation purposes.

I hold a junior lien of $18k to a property in Arizona City, Arizona. The property was sold at $300k with 1st lien of $290k a year ago. The property owner defaulted on my payment, so I hired a real estate lawyer and pursued foreclosure on it. From payment plan negotiation to the actual paperwork for the foreclosure, the lawyer fees have stacked up to $15k. Some information I learned from the local realtors before the auction as following: the market price for this property is at $270k optimistically. The 1st lien has been paid down to $280k. The monthly payment to 1st lien is at $1500. The market rent for this property is at $1700.

I imagine on the auction date, the bid would start from $280k + $18k + $15k, a total $313k. However, since the value of the property is at $270k, I would assume no one would buy this property. I could assume the title of the property along with the 1st lien, and on top of that, catching up on the delinquency. Assuming no property management fee and no maintenance cost, I will get $1700 - $1500 = $200/mo profit. Looks like it will take about 14 years to pay back my debt and lawyer's fee. 

I don't know if my assumptions and my math make sense, but I don't see in any way how this auction is going to benefit me at the end of the day, but my lawyer still suggests I pursue it. To me, it seems like it will only stack up more lawyers' fees. 

Does anybody have any creative ways to make things work in this scenario? What would you do? Keep pushing or cut loss?