Celebrity Pay Dirt
Neverland in Foreclosure?

Rumors have been rampant for months that Michael Jackson's Neverland estate was about to be foreclosed upon, but now comes the first concrete evidence that Jacko's home is about to go back to the bank. Who's bad?

The Implode-O-meter has obtained the foreclosure and Notice of Default report for Santa Barbara County -- and Neverland is listed. According to that report, Jackson is, as of October 12, delinquent $23,212,963 on a $23,000,000 loan.

Notice of Defaults in the state of California typically go out when a homeowner misses their third payment. After another 30 days, the homeowner is issued a foreclosure notice. According to this document, it appears that the King of Pop is $212,963 delinquent on the loan's principal of $23 mil.

A rep for Jackson did not immediately return our call for comment.



Filed under: Music, Wacky & Weird, Celebrity Pay Dirt

Reader Comments

(Page 13 of 14)Previous 15 Comments | 10 | 11 | 12 | 13 | 14 | Most Recent | Next 15 Comments

181. He'll die broke!

Posted at 4:52AM on Nov 9th 2007 by Helen

182. ...as he said a long time ago..."just leave me alone" ...for all of you hater's put on your spectacles and step back as his next move will be EXTREMELY AWESOME and A VISION OF PERPETUAL MOTION ...rock on MJ rock on!

Posted at 5:24AM on Nov 9th 2007 by JD

183. Is it just me, or does that Inset pic remind anyone else of Spiderman's JOKER?????!!!!! What a sad character.

Posted at 5:42AM on Nov 9th 2007 by BkrLady45

184. Ever Since I was a little girl Michael Jackson has scared the crap out of me. I've hated him ever since

Posted at 5:51AM on Nov 9th 2007 by Tammy Kaiser

185. It's not the color of his skin(whatever that is and that voice) that people hate..........It's what he did to all those little boys......so don't play that card.Someone needs to take his kids from him because you know what's going on. Who care about the house !!!!!

Posted at 5:54AM on Nov 9th 2007 by Michelle

186. Bury him there...the place just creeps everyone else out
he was never the king of ANYTHING

Posted at 5:54AM on Nov 9th 2007 by Txgirl78

187. MJ and OJ should live on an island together

Posted at 5:55AM on Nov 9th 2007 by Txgirl78

188. hehehehe, look at the bright side, at least his face isn't in foreclosure

Posted at 6:18AM on Nov 9th 2007 by hiphopalong

189. Angelina and Brad were going to buy this the other day, it was online. Is this one of those homes for $1.00????

Posted at 6:19AM on Nov 9th 2007 by web

190. This is breaking news..this is old news.

Posted at 6:24AM on Nov 9th 2007 by OMG...Travolta

191. I have never been a Michael Jackson fan. I didn't care for the music of the Jackson 5 and certainly didn't care for Mike's adult dancing with his hand on his crotch. But I do want to reply to some of the real estate stuff. Michael Jackson over the years has probably sucked all the equity he had out of Neverland by refinancing the place over and over again. I doubt if he will take a loss on the place. He bought the place ages ago and probably only paid a few million for it. I am sure he made an arm load of improvements (an accounting term and not a description of what he has actually done to the property) which would add to the basis of the house. As to the tax consequences that is a different matter. If the house is foreclosed at $23 million plus he will basically have a selling price of $23 million for the place. Unless he has a basis of over $23 million in the dump he will have a taxable gain and I suspect that could be a sizeable amount. If he has a loss (which I doubt) then he may or may not have a deductible tax loss. Like a lot of home owners are learning now or will learn shortly, a loss on selling your residence is not deductible. Uncle Sam and the state of California (doesn't matter where he lives, the property is in California and any gain will be taxed by the state) may be waiting to hit ol' Michael with a sizable tax bill on the foreclosure. You bet your ass that if he walk away from a debt of $23 million plus that he has debt forgiveness and the IRS calls that taxable income. He could end up in a deeper tax hell than Willie Nelson and Chuck Berry.

Posted at 6:53AM on Nov 9th 2007 by The Bean Counter

192. That's good now the little one's have no reason go to his WONDERLAND - i'm sure the more you look the more you wonder .......maybe he'll build his own school-house for boy's------wonder- boy is mad that he didn't think of it before oprah

Posted at 6:55AM on Nov 9th 2007 by Mel

193. paul mccartney--this is your chance---buy back your catalog!!!!

Posted at 7:35AM on Nov 9th 2007 by debbie

194. shame what happens to a guy who can't be himself and come out of the closet from an overbearing father....all screwed up

Posted at 9:14AM on Nov 9th 2007 by Garry

195. yes!!..what does rap and hip hop have to do w/MJ's money issues..and quite frankly if MJ is NOT BROKE!!!!!!!!!!!!!!!!!!!!!btw..I still luv ya MJ!!!!!!!!!!!!!!!!!!!!

Posted at 9:22AM on Nov 9th 2007 by roz

Previous 15 Comments | 10 | 11 | 12 | 13 | 14 | Most Recent | Next 15 Comments

Hot Tips