The Mortgage Man

Get more out of your mortgage experience!

Archive for celebrities in foreclosure

Celebrities In Foreclosure – Latrell Sprewell

Even though he once turned down a 3 year deal for $21 million, Latrell Sprewell might re-think that deal today.

MILWAUKEE — Former NBA star Latrell Sprewell‘s home is up for foreclosure and his yacht sold at auction to help pay off the $1.3 million he owes on the boat, according to court filings.

Sprewell, who once turned down a three-year, $21 million contract extension saying, “I’ve got my family to feed,” has apparently fallen on tough times.

Latrell SprewellSprewell

RBS Citizens NA, or Citizens Bank, filed a foreclosure suit last week in Milwaukee County for the $405,000 home Sprewell bought in the Milwaukee suburb of River Hills in 1994.

In court documents, the bank said Sprewell owed $295,138 in outstanding payments plus interest.

Sprewell failed to make his mortgage payments of $2,593 per month from September 2007 to January 2008, the documents said.

The Associated Press tried to reach Sprewell for comment Monday but a telephone number in his name was disconnected. A message to one of his attorneys, Robert A. Gist of Atlanta, and an agency in New York were not immediately returned.

The 37-year-old Sprewell played 13 seasons in the NBA for the Minnesota Timberwolves, the New York Knicks and the Golden State Warriors. The Milwaukee native was a four-time All-Star, but perhaps best known for choking coach P.J. Carlesimo during a Warriors practice in 1997.

He hasn’t played professional basketball since turning down the $21 million extension from the Timberwolves during the 2004-05 season. He was making $14.6 million at the time.

Last month, Sprewell’s 70-foot yacht, named “Milwaukee’s Best,” was sold at auction for $856,000 to a man from Milwaukee.

It was originally worth about $1.5 million. The bank holding that mortgage, New York-based North Fork Bank, asked that it be seized to pay off $1.3 million in debt.

Sprewell’s firm, LSF Marine Holdings, hadn’t made its $10,322 monthly payments on time or maintained the necessary insurance on the boat, the bank said. Sprewell bought the yacht built by the Italian firm Azimut-Benetti in 2003, according to court records.

A federal marshal seized the boat last summer in Manitowoc, about 80 miles north of Milwaukee, where it was in storage.

The sale price means the bank is still owed about $500,000, and it said in court filings it plans to go after the rest.

Last week, prosecutors in New York said they’d drop their case against Sprewell, who was accused of assaulting his girlfriend in front of their children. Prosecutors in Westchester County said the charges will be dismissed in a year if Sprewell stays out of trouble.

Copyright 2008 by The Associated Press

Celebrities In Foreclosure – Evander Holyfield

Even Evander Holyfield couldn’t avoid the knock out punch of foreclosure.

Evander Holyfield in foreclosure

I have a soft spot for those facing foreclosure in the country today. The economy is shaky, and many people have gotten themselves into homes they couldn’t afford and mortgages that didn’t make sense.

That being said, I’m going to have to go ahead and file Evander Holyfield in the “stupid is as stupid does” folder. According to public notice filed in Fayette County, GA, the former heavyweight champ is in foreclosure on his sprawling estate. This is where it gets good; the (stay with me here) 104 room, 54,000 square foot (yes that is not a misprint) estate is scheduled to go on the auction block on July 1st.

Now, I don’t claim to know anything about Evander Holyfield or his finances. But what I can tell you, as both a mortgage banker and a person with some level of common sense, if you buy a 54,000 square foot home, and you need to have a mortgage on it…….You Don’t Need To Be Living In A 54,000 Square Foot Home. There, i said it. I’m sure most of you are thinking it, but there it is.

A fool and his money are easily parted, and apparently this is just another example of that.

Celebrities In Foreclosure – Ed McMahon

Ed McMahon, the American Family Sweepstakes spokesman, is reportedly $644,000 past due on his $4.3 million mortgage.

Ed McMahon, Host of Star Search and well known Johnny Carson sidekick is reportedly in default with his mortgage on his home in Beverly Hills.  According to the Los Angeles County Recorder’s Office, a notice of default was filed from a division of Countrywide Financial Corp. on February 28th.  Spokesman Howard Bragman says that 85 year old McMahon has been unable to work since a neck injury 18 months ago.

The house, located in the same subdivision as paparazzi favorite Britney Spears, has been on the market for $6.25 million for 2 years, and due in large part to recent publicity, has generated a lot more interest on the sale.  Talks with Countrywide are going well to help prolong foreclosure in the interest of a sale.

Celebrities In Foreclosure – Michael Jackson

Even the King of Pop is not immune from the foreclosure crisis.

Neverland Ranch foreclosure

It was reported in March that Michael Jackson was in default on the $24.5 million dollar loan on the now infamous Neverland Ranch.  The 2500 acre Santa Barbara County property was saved from foreclosure last month when investment company Colony Capital bought the defaulted loan.  It is not yet known what his intentions are with the property, but for now, he has dodged the bullet.

Jackson bought the property in 1988 and turned it into a miniature amusement park complete with ferris wheel and a roller coaster.  While Jackson’s attorney declined comment over this “Thriller”, it is no doubt that Jackson sees himself as a “Smooth Criminal”.  (I couldn’t help myself)