Allen Iverson cut the price on his 14,000-square-foot mansion in Pennsylvania, according to this Wall Street Journal article. Iverson paid $5 million for the house in 2003, records show, and listed it for $6.3 million; he’s now asking $4 million.
Poor Iverson. All that house and he has to sell it for $1 million less than what he paid for it. He’s prone to home trouble. He bought a home in Atlanta and ended up suing the builder for alleged shoddy construction. At least he isn’t in the same position that ex-NBA buddy, Latrell Sprewel, was in a few months back. Foreclosure proceedings are no fun, I’m sure.
In case you want to buy it, here’s some info from The Luxist blog:
The six-bedroom home is on four acres that include a pool house, stream and waterfall. The chateau-style home on Chateau Lane has four levels including a great room with floor-to-ceiling Palladian windows. The master suite has his and hers marble bathrooms, a coffee bar, media area and a veranda overlooking the grounds. There are four additional en-suite bedrooms and a separate guest quarters with a bedroom, living room and kitchenette. The entertainment level has a 12-seat movie theater, billiard room, and a lounge with a custom wood carved bar accommodating 200+ wine bottles.
Do you think the athletes get suckered into paying too much for their homes? Do you think Iverson can afford the $1 million loss? Do you care? Is he overpaid?
Thanks PJD for the tip!
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{ 7 comments… read them below or add one }
I know that these althletes have some beautiful homes but the market just isn’t what it used to be. In my book a $1 million dollar loss is a big deal. Hopefully he has worked out all the numbers and is not totally screwing himself up.
I’m usually not sympathetic to pro athletes, but maybe he has to take the hit because of the current state of the housing market?
PJD: Indeed. I wonder why he buys so many homes?
Vanessa: I agree. He bought in 2003 when the market was in an upswing. We all know how things are now. He must really want to be rid of the house. Some people are trying to wait out the bad market.
He makes 14 million per year, and he has been in Denver for 2 years now, I am sure it is a case of not being able to unload a house that is empty
I don’t feel any pity for the guy – losses in real estate happen. I would LIKE to think that he would have spent less money on a house he apparently didn’t want to hold on to forever, or at least would have bought one that he could rent or sell with less problems.
He makes enough money that he should have been able to buy that house for cash money. I sure hope he isn’t pleading poor all of a sudden!
Not just athletes, but anyone can get sucked into paying too much for a house. It’s oversimplification, but that’s pretty much the bottom line of the housing boom and bust: too many people paying way too much for houses that weren’t worth what they thought. It’s especially easy to do when luxury real estate is involved and you’ve never owned a property like that before, which is the case with many athletes.
Think about it: you’re in your early 20s, come from a poor or middle class background and your first home purchase is something over $1 million. The scale and logistics of that transaction are way more complicated than getting a $100k or $200k mortgage and if you don’t have homebuying experience or good counsel, watch out.
.15 – that’s true, but the guy went to college! I know you have to take a variety of classes to graduate, like econ 101.
I do think that college athletics programs owe it to their money-generating team players to have them take at least one personal finance class.
But in the end, you sign, you pay.