We all know how rough the economy has been lately, with gas prices skyrocketing and housing sales plummeting. Now it seems as if the crunch is even hitting celebrities.
Ed McMahon has admitted that his Beverly Hills home is facing possible foreclosure. Ed, who is 85, appeared on “Larry King Live” and said that he and his wife Pam are $644,000 behind on their mortgage. What happened to the man that was a staple on the “Tonight Show” with Johnny Carson for 30 years? Not to mention he was the host of “Star Search” for 20 years, plus the spokesman for American Family Publishers’ sweepstakes for years. Ed blamed it on the economy, bad health, and poor planning.
He told Larry “If you spend more money than you make, you know what happens. You know, a couple of divorces thrown in, a few things like that. And, you know, things happen.” (Pam is Ed’s third wife) Ed also admitted to not managing his finances very well. Although Ed received a settlement of $7.2 million due to a toxic mold problem in 2001, he said the money did not go far after making the necessary repairs and paying the nine lawyers he had to retain.
Ed appeared on the show with a neck brace on, saying he had broken his neck in a fall 18 months ago and that that prevents him from working. He and Pam put their multi-million dollar home on the market two years ago. Since then, over 50 organizations and individuals have looked at it, but there have been no offers. Ed bought the 6 bedroom, 5 bathroom, 7,000 square foot home off Mullholland Drive in early 1990 and it is believed he has a $4.8 million dollar mortgage on it right now. The house is listed at $6.25 million. The neighborhood, known as The Summitt, includes other celebs such as Britney Spears.
It’s sad that someone who has worked almost his entire life now faces losing his home, especially at such an advanced age. But, Ed and Pam are hopeful. He told Larry that this week, there had been renewed interest in the home.