Allen Iverson lost his $4.5 million home in Atlanta to foreclosure after the former NBA star’s last ditch attempt to save his mansion fell short.
The former NBA All-Star had defaulted on a $1.2 million mortgage and was seeking an auction to prevent the foreclosure. Allen Iverson had another chance to forestall the foreclosure by getting back into basketball, but refused an offer from the NBA D-League Texas Legends, the Philadelphia Inquirer reported.
Though other athletes have had money problems post-retirement (or, in the case of Michael Vick, due to legal circumstances), Allen Iverson is far from broke. He had a trust fund worth $32 million that he can’t touch until he turns 55, and draws a $1 million annual stipend.
But he has also run into some big costs, like a $3 million settlement he paid to ex-wife Tawanna in a divorce settlement. The divorce also cost Allen Iverson some of his reputation after a judge said he “does not know how to manage the children; has little interest in learning to manage the children and has actually, at times, been a hindrance to their spiritual and emotional growth and development.”
Allen Iverson actually claimed that the foreclosure was in part Tawanna’s fault. He said she purposefully agreed to a loan she knew he couldn’t meet.
TMZ writes: “Iverson claims his estranged wife — with whom he’s going through a nasty divorce — signed for the mortgage in order to screw him … by agreeing to financial terms he couldn’t meet. The lawsuit has since put a hold on the foreclosure proceedings … buying Iverson some extra time.”
This is not the first foreclosure for Allen Iverson. In 2011 his Colorado home also went into foreclosure after he stopped paying the mortgage.