Money Doesn’t Grow On Trees
Celebrities and enterprise tycoons can spend more money in a day than we’ll see in our entire lives, and the same rings true for houses. Unfortunately, money is finite, and it seems like these multi-millionaires tend to forget that they may not be multi-millionaires forever. To learn about the housing woes of the uber-rich, read on.
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1. LaLaurie House
This mansion is considered one of New Orleans’s most haunted houses, due to LaLaurie’s terrible treatment of slaves in the 19th century. Throughout history, this house has been used as a school, a home for men in need, and, most recently, Nicholas Cage’s new home. Cage purchased the property for $3.4 million USD in 2006, but lost it to foreclosure in 2009.
2. The One
Also known as One Bloor West, this super-tall skyscraper has been under construction for 8 years. The original company, Mizrahi Developments, lost control of the project in 2023 due to major budget overruns and defaulting on multiple loans.
3. Old Governor’s Mansion
This South Dakota mansion has been the home of state governors for several decades. It was purchased in the early 2000s by Leon Brodie, who was dead set on restoring it to its former glory. Unfortunately, the house was just too much to handle, and Brodie lost the house to foreclosure after racking up $500,000 in debt.
United States Congress on Wikimedia
4. Bungalow
Bob Bull was considered the United Kingdom’s biggest bungalow builder. He had an estimated net worth of close to £2 billion. So it came as a shock to everyone when he had to sell his £10 million mansion after it was discovered that he borrowed money from a drug cartel to pay off £725m in debt.
Esby (talk) 20:41, 24 June 2009 (UTC) on Wikimedia
5. Star Island Villa
This property was owned by venture capitalist Thomas Kramer, who purchased this real estate property back in the 90s. Unfortunately, he purchased the property with his ex-wife’s stepfather's money, leading to a nasty legal battle with his stepfather's heirs. This sadly led to Kramer owing $192 million to the heirs and foreclosing on his property in 2017.
6. Grand Designs Home
Located in North Devon, England, is the “saddest home ever.” This gorgeous lighthouse property left its owner, Edward Short, without a wife and around £7m in debt. The property had an original asking price of £10m, but sadly nobody would bite, and the property remains unsold to this day.
7. Versace Mansion
This gorgeous 23,000 square foot property has been the home to countless celebrities, and was recently owned by Telecom owner Peter Loftin. Due to some financial issues with his company, Loftin had to put the property up for auction in 2013.
8. Solferino Homes
The development business that was owned and operated by Marco Solferino was considered a pride and joy of Washington state. Due to a major increase in debt, the company closed its doors back in 2019, liquidating all assets. Many prospective customers only received a portion of their down payment, and Solferino also had to sell their $1 million property.
9. Palazzo di Vista
This nearly $90 million property was owned by Alex Khadavi, a world-renowned celebrity plastic surgeon. He built his home in the neighborhood of Bel Air, racking up tens of millions of dollars in debt. After filing for bankruptcy, the house was auctioned in 2002 for a mere $45.8 million.
10. Extreme Makeover: Home Edition
Many “lucky” homeowners have shouted, “Move that bus!” on the ABC show Extreme Makeover: Home Edition. But not every story has a fairytale ending. In fact, many homeowners have been forced out of their homes due to the price hike in mortgages, taxes, and utility bills.
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11. Golden Age Hollywood Mansion
This Beverly Hills estate is among the most famous homes in California, hosting a plethora of America’s most important people. The home was purchased by real estate investor Leonard Ross in the 1970s, but was auctioned off for half of the original asking price after Ross filed for bankruptcy in 2019.
12. Mike Tyson
Famed heavyweight champion Mike Tyson lost everything after filing for bankruptcy in 2003. Among a costly divorce settlement and unpaid taxes in the U.S and the U.K., Tyson lost his 21-bedroom mansion in Connecticut.
13. 50 Cent
Funnily enough, after the famous rapper, actor, and producer, 50 Cent, purchased Mike Tyson’s property when he filed for bankruptcy. Perhaps the home is cursed, as 50 Cent was forced to sell the home for $16 million under asking after facing his own financial troubles.
14. Monticello
The 3rd president of the United States struggled with an amassing of financial debt, even trying to sell his well-known Monticello property. Jefferson died before he could pay off his debts, and the home, as well as the 130 slaves that lived on the property, was sold off to James Turner in 1831.
15. Hook End Manor
The home owned by Pink Floyd guitarist Dave Gilmour has been a point of financial struggle for years. Gilmour has tried to sell his $19 million USD mansion for years, only recently discovering that the property is technically owned by the Crown.
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16. Toni Braxton
This Grammy-winning singer has filed for bankruptcy twice in the United States, most recently in 2010. She unfortunately had to foreclose on her Georgia property in 2011 due to a Chapter 7 liquidation process.
17. Kanye West
The once popular musician recently tried to sell two of his multi-million dollar properties this past year, as he dives deeper and deeper into lawsuits and tax debt. West has faced several financial issues over the years, including his divorce from Kim Kardashian, a fire that burned his Northridge home, and his clothing business, Yeezy, failing to make a profit.
18. Timothy Busfield
This famous actor purchased a $1.2 million home in Malibu back in 2003. Sadly, a combination of divorce payments and tax issues resulted in him putting his home up for sale in 2008. When the house didn’t sell, Busfield had to foreclose on his home a few years later.
19. Burt Reynolds
Despite his world-renowned fame in the 1970s, Reynolds had accumulated $10 million in debt by 1996. His long-standing financial woes ended up costing him his home in Hobe Sound, Florida, back in 2011.
Alan Light (alan.light) on Wikimedia
20. The One
This Los Angeles mega-mansion was put up for sale by Nile Miami for an original price of $295 million. Because that’s an insane amount of money, the home was eventually auctioned off to Richard Saghian for a more respectable $141 million in 2022. The process of building this uber luxury property forced Miami into bankruptcy in 2021.
