The R&B singer, R Kelley has been behind on his mortgage payments for his suburban Chicago home. Huffington Post reported that he hasn’t made a payment on the 11,140 square foot mansion in at least a year.
Foreclosure is a common problem for many average Americans, but even musicians can face hard times and need foreclosure attorneys.
An unnamed source close to R Kelley told Crain’s of Chicago that he failed to make the mortgage payments in order to force the bank to renegotiate the terms of his mortgage. Banks often advise mortgage holders to default on their payments before they will consider modification. This can lead to wrongful foreclosure which can be challenged by a foreclosure lawyer.
Kelley purchased the mansion 11 years ago, but doesn’t currently reside there. The value of the home has plummeted 26 percent since 2009 when it was last appraised at $5.9 million. He faces costs far exceeding the value of the home. This is the plight of innumerable homeowners since the real-estate market crashed.
The federal government has pressured major mortgage lenders to reduce home loan balances for homes that have decreased in value. The dramatic decline in property values are attributed to the real-estate market collapse caused by the bank’s risky investments in mortgage derivatives.
Foreclosure lawyers are sometimes able to negotiate for mortgage modification for certain clients.
Kelley has other financial issues, as well. He is being sued by his former manager for breach of contract and fraud, linked to unpaid commissions.
