Have you heard the latest on the Holyfield foreclosure? A poor housing market in the US and owning a multi-million dollar home are a dangerous mix. The poor economy is one of the reasons why many people are feeling the pinch and being a celebrity doesn’t mean that you will not face this problem.

In the last couple months more then one celebrity has not been able to keep up with their mortgage payments. Ed McMahon, Latrell Sprewell, and Jose Canseco have faced headaches with paying for their homes. The lasted to ad the the list of down and out celebs is the Holyfield Foreclosure.

Holyfield reportedly has made 200 millions from his boxing career. How can these multi-millionaires not afford their house payments? I just think it boils down to their lavish lifestyles.

These celebrities spend way too much money. I have seen it a many times before. A once rich and famous person loses all their money and ends up either bankrupt or living a lifestyle way different then before. Can you imagine one day flying on private jets, taking exotic vacations, and eating the finest foods and the next day you have to live the life of an average American.

Can you prevent foreclosure in your own life?

The best way to prevent foreclosure is to live within your means. Don’t pull out the credit card every time you go shopping thinking you will pay it off later. Don’t buy a house or car that you can’t afford. Instead of going out to restaurants all the time stay in and cook your own meal. Clip coupons if you have to for christ’s sake. The major trick to prevent foreclosure is save as much money as you can when you can and when the economy is down in the dumps like it is today you will have enough money saved up so you don’t end up like this Holyfield foreclosure.

How will you prevent foreclosure?