http://abclocal.go.com/kabc/story?section=news/entertainment&id=6184634

LOS ANGELES -- Ed McMahon, who for decades appeared as Johnny Carson's sidekick on "The Tonight Show," is fighting to avoid foreclosure on his multimillion-dollar Studio City home, according to published reports.

The former "Star Search" host was $644,000 behind on payments on $4.8 million in mortgage loans when a unit of Countrywide Financial Corp. filed a default notice Feb. 28 with the Los Angeles County Recorder's Office, The Wall Street Journal first reported late Tuesday.

McMahon, 85, has been a pitchman for the American Family Publishers' sweepstakes.

However, he has been unable to work as a pitchman for various products since he broke his neck 18 months ago, said his spokesman, Howard Bragman.

"There are plenty of people affected by the weak economy, bad housing market or bad health," Bragman said.

McMahon has been in "very fruitful discussions" with the lender to resolve the situation, Bragman said. But it's unclear whether McMahon and his wife, Pamela, will remain in the home.

A telephone message left for Countrywide early Wednesday was not immediately returned.

The six-bedroom, five-bath house is in a hilltop gated community overlooking Mulholland Drive called The Summit and is listed for sale at $6.25 million. It has been on the market two years, according to real estate agent Alex Davis, who has the listing.

The house is near that of pop star Britney Spears, which doesn't always work in its favor.

"When we were trying to sell the house one time, there were about 100 paparazzi there," Davis said.

This is when you know the economy is really bad.

This is when you know the economy is really bad.

I know... sad (and scary)...

yea, that IS sad & scary. Thank god I'm not a homeowner, and my parents sold their home. Proves that even celebrities aren't above the economic crisis.


My father said recently that this reminds him of what it was like during the depression.

I gotta say a prayer for Mr. McMahon. He is so cool and terrific. It's a shame to be 85 and have to be in debt like that.

Maybe it could arrive outside his house with one of those big checks.

It appears that Ed McMahon didn't invest or save his money wisely. I know that $644,000 is a huge amount of money for us, but after probably six decades of working, I'd think he should have that money, to save his house. Often times, people go through expensive divorces, have a lot of kids to raise, and don't live within their means. At the age of 85, Ed McMahon shouldn't have to even think about working to support himself. I'm sure he made great money throughout his life. I hope he manages to sell his house, so he can downsize. That would be the ideal solution.

It's always sad to hear when famous celebrities, athletes, etc, who made fantastic money, fall on hard times. Some of them end up in trailer homes or things like that. I remember when Sammy Davis Jr. died, his widow had a lot of trouble with the IRS. There's Willie Nelson, so many of them. Then there are the real financially shrewd celebrities, who plan early, invest and save, and live out their years in luxury. They have to plan for retirement, just like the rest of us.

Not to be downtrodden, but wow--all those years of being Carson's sidekick, host of "Star Search", pitchman for American Family, and he still wound up in this situation? :(

This is when you know the economy is really bad.
No, this is when you know what happens when some people (including celebrities) don't handle their finances properly.

At his age, I would think that a house he lived in would have been paid off a long time ago. He probably bought a house in which the payments cost more than his income. Or, for some reason, he had the income but didn't make payments.

It appears that Ed McMahon didn't invest or save his money wisely. I know that $644,000 is a huge amount of money for us, but after probably six decades of working, I'd think he should have that money, to save his house. Often times, people go through expensive divorces, have a lot of kids to raise, and don't live within their means. At the age of 85, Ed McMahon shouldn't have to even think about working to support himself. I'm sure he made great money throughout his life. I hope he manages to sell his house, so he can downsize. That would be the ideal solution.

It's always sad to hear when famous celebrities, athletes, etc, who made fantastic money, fall on hard times. Some of them end up in trailer homes or things like that. I remember when Sammy Davis Jr. died, his widow had a lot of trouble with the IRS. There's Willie Nelson, so many of them. Then there are the real financially shrewd celebrities, who plan early, invest and save, and live out their years in luxury. They have to plan for retirement, just like the rest of us.


Totally agree. Some of us think that since most celebrites make tons of money at some point in their careers, they don't have to worry about saving or making end's meet. The reality is that money is not eternal; if you don't spend it wisely and save, invest, etc. you will eventually end with a bunch of zeroes on your bank account.

As for Mr. McMahon, I hope he finds a solution. It's sad to see an 85 year-old in this situation.

What a shame - I hope that everything can be worked out.

Totally agree. Some of us think that since most celebrites make tons of money at some point in their careers, they don't have to worry about saving or making end's meet. The reality is that money is not eternal; if you don't spend it wisely and save, invest, etc. you will eventually end with a bunch of zeroes on your bank account.

As for Mr. McMahon, I hope he finds a solution. It's sad to see an 85 year-old in this situation.
I agree. First of all, I feel for the man and his wife.

From what I have read, a lot of celebs don't have medical coverage. They pay out of their own pocket. I am sure due to his age, Mr. McMahon has medicare and hopefully that paid for his bills when he broke his neck. Also, can you imagine the cost of the property taxes on his home? Living in Los Angeles, especially Studio City does not come cheap. Not to mention home insurance. :eek: Let's figure in his car payments and car insurance. Car insurance for luxury cars can be very expensive. The cost of maintenance on his home such as lawn care, gardening services, etc. I am sure he has pets so then you figure he pays an extraordinary amount of money for their health care, food, essentials, bathing, etc. I have a dog and it can add up. I am sure there is a pool so add in a pool maintenance person. Maids or housekeepers? I can go on and on. I am sure Ed didn't expect to break his neck, but he had to have made an extraordinary amount of money when he was doing Star Search and being a pitch man for a few companies. Investing and spending wisely is the key. It is the key for anyone, regardless if you are a celebrity or not.

Ok, I still do not understand how in the world he could be broke. I must really be missing something here. Ok he broke his neck almost 2 years ago, but he has been working pretty much none stop since like the 60's or 70's, maybe even before then. He should have a big stash saved up. What in the world has he been spending his money on?

Totally agree. Some of us think that since most celebrites make tons of money at some point in their careers, they don't have to worry about saving or making end's meet. The reality is that money is not eternal; if you don't spend it wisely and save, invest, etc. you will eventually end with a bunch of zeroes on your bank account.

As for Mr. McMahon, I hope he finds a solution. It's sad to see an 85 year-old in this situation.

:yeahthat

i agree. saving & investing wisely are key. the whole situation is really sad. the fact that he's 85 years old and that he recently broke his neck on top of losing his house is too much for him.

I am so very sorry to here this sad news

ED MCMAHON REVEALS POOR PLANNING AS ONE REASON FOR FORECLOSURE:

LOS ANGELES — Ed McMahon blames the possible foreclosure of his multimillion-dollar Beverly Hills house on a set of problems all too familiar to many Americans: a foundering economy, health problems and poor planning.

"If you spend more money than you make, you know what happens," McMahon said Thursday night on CNN's "Larry King Live." "You know, a couple of divorces thrown in, a few things like that. And, you know, things happen."

McMahon, 85, appeared with his wife, Pamela. The couple said they are $644,000 behind on their mortgage payments and are in negotiations with lender Countrywide Home Loans Inc. to set a foreclosure date.

McMahon, in a neck brace, said he had stopped working since he broke his neck in a fall 18 months ago. He didn't elaborate.

McMahon, who was Johnny Carson's sidekick on the "Tonight" show, said the house had been on the market for two years and that although 50 organizations or individuals had looked at it, no one had made an offer. Documents show McMahon has a $4.8 million mortgage on the home.

"It's like a perfect storm," he said. "Economy problems. Selling the house right now is a tremendous operation."

McMahon bought the six-bedroom, five-bathroom, 7,000-square-foot house in January 1990. The mansion, which is listed at $6.25 million, is in a gated hilltop section off Mulholland Drive called The Summit. Britney Spears is among his neighbors.

Asked why a millionaire couldn't make house payments, Pamela McMahon said the couple had less money than people may think and suggested they could have done a better job managing their finances.

"We didn't keep our eye on the ball. We made mistakes," she said. "It's embarrassing to say the least, and it's sad, because you know, Ed's worked his whole entire life."

McMahon, a former pitchman for the American Family Publishers' sweepstakes and former "Star Search" host, received a $7.2 million settlement after a toxic mold spread through his house and led to the death of their dog in 2001.

With legal fees and construction costs of fixing the mold problem, the money did not go far, McMahon said.

"We had nine lawyers, they had nine lawyers," McMahon said. "By the time that's all over, and you rebuild the house from the outside in. ... A lot of things went wrong."

Still, McMahon said he was hopeful. He said there has been renewed interest in the house this week.

"I'm optimistic," he said.