Former Sacramento King Kevin Martin Loses Rocklin Home to Foreclosure
Former Sacramento King and current Houston Rocket Kevin Martin has spent the last 7 months fighting with his bank to let him sell his home via short sale as first reported in the Sacramento Bee last October.
Until recently the property had been listed as a short sale with an asking price of $941,000. In fact the property was in "Short Sale Contingent" status as recently as March 23rd, which means that Kevin had accepted an offer from a buyer and was actively attempting to get his lender to accept a short payoff.
As with many short sales, the attempt failed, and the home was foreclosed on anyways.
Public records gathered from Core Logic's Realist service indicate that his home was foreclosed on by Aurora Loan Service Corporation on March 28th.
The published sales price at the foreclosure auction was $1,619,534, which is far above the current market value for the property and is most likely a representation of the amount that was owed on the loan when the foreclosure occurred.
Had his lender accepted the short sale, they stood to lose approximately $611,000 on the original $1,552,000 first loan, not counting any commissions, missed payments or other fees.
What they will lose now will be determined by what the home can be sold for as a bank owned property.
Because the loan was a purchase money loan, it is likely that Aurora will have no recourse against Martin.
His personal credit will be severely damaged by the foreclosure and it will make it difficult for him to get a home loan for next few years, but with a reported $10 million a year contract, he will probably get by just fine.
A larger question that remains unanswered, is whether we can expect to see similar foreclosures and short sales from other Kings players, coaches, staff and employees, if the team leaves for Anaheim next year. Let's hope not.
Update 4/12/2011 - Bank Lists Kevin Martin Foreclosure for Less After Refusing Short Sale