Ed McMahon: Another Lawsuit, Still Poster Boy For Housing Crisis

Ed McMahon’s financial troubles continue. First he defaulted on $4.8 million in mortgage loans and faced foreclosure on his Beverly Hills home. Then he suffered the public embarassment of going on Larry King and owning up to his failures, which he did graciously and forthrightly (his advice: avoid profligacy, divorces, and debts).

Recently, Ed’s fortunes have reportedly improved, as an Entourage writer was finally said to be interested in buying his house. Alas, the sale doesn’t appear to be going through fast enough, because Ed’s also now getting sued by creditors again (LA Times):

A Huntington Beach lender has sued McMahon to recover a $250,000 loan it said McMahon had failed to pay back, along with interest and legal costs.

McMahon secured the loan with his house.

In July, he was sued by his former lawyers for $275,167 over payment of a legal bill. McMahon had already failed to make payments on $4.8 million in mortgages with a unit of Countrywide Financial Corp., prompting the lender to issue a default notice — the first step in foreclosure — in March.

Here’s a theory: once McMahon sells his house, which is listed at $4.6 million, that will signal the end of the housing crisis.

See Also:
Housing Crisis Gets Serious: Ed McMahon Losing Home (and Blaming Britney Spears)

Ed McMahon’s Formula For Not Losing Your House: Avoid Profligacy, Divorces, Debts

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