A lot less than that for sure.
You shouldn't have to pay more than $1000 on a rebuilt engine. I would
suggest visiting a few scrapyards in the area and see what they've got.

I picked up a used Nissan ........oh man, I can't remember the model #
now....it came after the 300ZX......280SX??? Anyway, pretty good shape,
about 80k miles on it. Got it for $500.