The housing market is in a slump. The numbers are in. Foreclosures are at an all time high and nobody is out of reach now that it’s time to pay up. This past week two of the nations most beloved celebrities both announced that they too were having to face the consequences of extending themselves beyond their financial means like so many others in this country.
Best known for being Johnny Carson’s right hand man, Ed McMahon has enjoyed a comfy life living in the same neighborhood as such A-list celebs like Brittney Spears and George Clooney. At age 85, McMahon has been unable to work due to a severe neck injury he sustained earlier last year. While McMahon continues his recovery the 7,000 square foot property he calls home has defaulted in the amount of $6.5 mil, leaving him owing the bank over $600,000.
Former heavyweight champion of the world Evander Holyfield also let the cat out of the bag that he too had been socked with a hefty foreclosure notice and could end up loosing everything. Holyfield has until July 1st to make things good otherwise the bank will be auctioning off his $10 million dollar estate to the highest bidder.
With the current foreclosure rate up 65% from this point last year and 1 out of every 519 receiving notices, one real estate agent I spoke to says it’s not as bad you might think. According Heath Thompson owner of Walker Waddell Real Estate, located in north Alabama, “From my perspective business is still going strong. Sure the current economic slow down is making things a little bit tougher, but over all business is good.” Thompson also added that he sees a huge potential to be gained through the use of direct marketing tools such as WrapMail, “The idea that you can wrap all your emails with not only pictures of homes that are for sale, but also link those images to a site that gives you the details of the property….well that’s just smart business.” As fears about the current foreclosure rate continue to rise as well as concerns over the economy in general, many are predicting that the real estate industry in particular needs to start looking at better more cost efficient ways to reach it’s customer base.