L.A. Prepares to Recycle Foreclosed Homes in City. “With Los Angeles' foreclosure rate surging by nearly 300%, city housing officials said Wednesday that they hope to help stabilize the market soon with millions of dollars in federal funds that would let them buy and resell homes already or likely to become abandoned. More than $1.2 billion in federal housing aid is expected to be available to California soon, possibly within a month. It is not yet clear how much L.A. would get; funding will be doled out based on need across the state.” (Big Builder Online, Aug. 14)
Donald Trump To Rescue Ed Mcmahon From Foreclosure. "Mega-developer and TV personality Donald Trump has agreed to buy Ed McMahon's Beverly Hills house for an undisclosed amount and allow McMahon to continue living in it… "I don't know the man, but I grew up watching him on TV," Trump said… McMahon, 85, was facing foreclosure within two weeks on his Beverly Hills home of 18 years. The aging television icon, who was Johnny Carson's sidekick for three decades, defaulted on $4.8 million in mortgage loans with Countrywide Financial Corp. (NYSE:BAC).” (LA Times, Aug. 14)
Foreclosure Hits Oregon’s ‘Shire’. “The hobbit Frodo and his companions from J.R.R. Tolkien’s Lord of the Rings would be among the latest victims of housing market downturn—if they lived in Oregon. The Shire, a development with a Lord of the Rings theme in Bend, Oregon, is facing foreclosure proceedings… A notice of default and election to sell was filed in the Deschutes County Clerk’s Office on July 22. The notice says that the McDonald family, which owns the property, owes Umpqua Bank more than $3 million.” (WSJ Blogs, Aug. 14)
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