Celebs Facing Foreclosure

celebs facing foreclosure

It’s not only the middle class who are struggling in the housing market: so are the celebrities! Forbes has an interesting look at several celebs who are facing foreclosure, including celebs who “strategically” defaulted to minimize her losses. What a mess! Here’s a rundown:

  • Terrell Owens has defaulted on FIVE homes around the country: four high-end condos in the Dallas area as well as a Trump Tower apartment in Sunny Isles, Florida. Some were repossessed by the bank while others were sold in a short sale. WHY would he need four condos in one city?
  • Chris Tucker had SunTrust Bank foreclose on his 10,000 square foot mansion in Lake County, Florida. He bought it for $6 million in 2007, owed $4.4 million when the bank foreclosed, and the house was sold in a short sale earlier this year for $1.7 million. OUCH.
  • Burt Reynolds reportedly hadn’t made a payment on his $1.2 million mortgage since September 2010 on his 12,538-square feet (including a helipad and yacht dockage) Hobe Sound compound when the bank foreclosed on it in August 2011. It’s now listed for a short sale for $5 million, $4 million less than its asking price when foreclosure proceedings began. When you think of how little he owed on the house ($1.2 million) relative to its worth ($9 million), that’s really unfortunate.
  • Evander Holyfield lost his Fairburn, Georgia “mega-mansion” (54,000 square feet) earlier this year. He owed nearly $14 million on the property. The bank started foreclosure proceedings four years ago but gave Evander time to try to turn things around. Yet with his child support payments and failed business ventures, he was unable to do so.
  • Rihanna is an example of a star who intentionally went into default. She bought a $6.9 million house in Beverly Hills, California but then filed a suit claiming leaky construction had caused extensive water damage. Although the singer presumably could afford to make the payments, it didn’t make sense to do so, given the condition of the house. It’s now listed as a short sale property.

Things may be turning around, but everyone’s still struggling with the housing market!

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