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The World's Number One Real Estate Agent Just Filed For Bankruptcy
Business Insider ^ | 06/06/2011 | Robert Johnson

Posted on 06/06/2011 10:06:38 AM PDT by SeekAndFind

John McMonigle claims to be the world's number one real estate agent. With $2.5 billion in residential sales over the past six years, this 46-year-old realtor may well have been.

And now he's declaring bankruptcy.

According to the Orange County Register, McMonigle has amassed $50 million in debt, even after selling his luxurious Newport Beach condo, his car and personal effects.

The Oklahoma native started small, arriving in California with only $73 in his pocket in 1989. But within four years he was grossing $100,000 a year.

McMonigle's ascension through the ranks of top realtors reached dizzying heights during the years of the housing bubble. In 2006, he was living in an $11 million estate, driving a Maybach, and giving tours of a $75 million listing on the Oprah Winfrey Show. He launched his own M Magazine, marketed yachts, jets -- accessories to match the lifestyle he sold with his homes.

Then the bubble popped.

McMonigle was counting on selling $45 million worth of real estate per month, but only closed about $25 million to $35 million per month. Soon the bills started catching up.

(Excerpt) Read more at businessinsider.com ...


TOPICS: Business/Economy; Culture/Society; News/Current Events; US: California
KEYWORDS: bankruptcy; billionaires; bubble; economy; estate; frugality; mcmonigle; real; realestate
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To: Tijeras_Slim

It amazes me too.

Did they spend every cent that came in ? How can you not be set for life during a time when you’re making unheard of money ?

Are you so in love with the money and things you don’t plan for your future ?

I don’t get it. Sometimes the rich are incredibly stupid.


41 posted on 06/06/2011 11:14:51 AM PDT by CornBred
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To: dfwgator

LOL !!!

I love that song !


42 posted on 06/06/2011 11:16:47 AM PDT by CornBred
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To: MHGinTN
Even designed on so the bottom of the bed would be an art display zone

My wife and I have 13 grand children, so an "art display zone" is a necessity, we call it "The refrigerator".

43 posted on 06/06/2011 11:20:06 AM PDT by Graybeard58
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To: CornBred
I don’t get it. Sometimes the rich are incredibly stupid.

It's not the money, it's the ride, and it looks like he had one heck of a ride. Chances are good that he will be riding high again one day.

44 posted on 06/06/2011 11:24:51 AM PDT by Prokopton
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To: dfwgator

Feeling good, Lewis!!!


45 posted on 06/06/2011 11:26:31 AM PDT by Ann Archy (Abortion is the Human Sacrifice to the god of Convenience.)
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To: Prokopton

You buys your ticket you takes the ride.

LOL, could be.


46 posted on 06/06/2011 11:27:36 AM PDT by CornBred
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To: SeekAndFind

It’s only the beginning of the fall for big ticket sales.


47 posted on 06/06/2011 11:40:34 AM PDT by familyop (Shut up, and eat your brains!)
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To: SeekAndFind

Number One could also be facing legal problems——if he assisted buyers in falsifying bank apps to get mortgages.

This was very prevalent in Cali during the real estate boom.

One recent cable documentary showed a latino who mowed lawns for a living residing in a posh million dollar home. He lied about his income on the app. When he could not pay up, he had to move out-—blaming everybody but himself for his losses.


48 posted on 06/06/2011 11:47:27 AM PDT by Liz ( A taxpayer voting for Obama is like a chicken voting for Col Sanders.)
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To: PieterCasparzen
Most people think that the Bible only says that "Money is the root of all evil". They miss the fact that it says "The love of money" they also attribute money to ALL evil, when it says it leeds to "all sorts of evil".

Proverbs is full of advice on money and materials. It teaches how to properly AQUIRE it. It teaches how to spend it and invest it. It warns against slothfulness and laziness. It teaches diligence and patience. It warns against foolishness and folly and exhorts seeking and living by wisdom.

Proverbs 31 talks of a woman, who gets up early, takes care of her family and servants, works hard around the house, sells her wares in the market AND THEN considers a field (wisdom) and buys it. The Bible says THIS is a noble woman.

49 posted on 06/06/2011 11:50:45 AM PDT by mountn man (The pleasure you get from life, is equal to the attitude you put into it.)
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To: surrey

Just so you know...you can get better quality garmets etc. at higher end stores on their clearance racks...even JC Penny’s outdoes most. $1.97 jeans is a great buy, especially when they are in fashion. Racks at Four and five dollars are not unusual. You get better quality for the buck.

Same with stores as Macy’s..Nordstrums etc.


50 posted on 06/06/2011 11:53:01 AM PDT by caww
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To: SeekAndFind

I think the guy missed his calling. He should contact GQ and become a male model. Immediately.


51 posted on 06/06/2011 11:54:46 AM PDT by battletank
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To: MHGinTN
Right. IMO, the vast majority would go to charity, Pro-Life the biggest part. But I would definitely “upgrade” if I won a lotto.
52 posted on 06/06/2011 11:56:06 AM PDT by cpforlife.org (A Catholic Respect Life Curriculum is available 4 FREE at CpForLife.org)
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To: SeekAndFind
Why did he have to file for bankruptcy when he could just have raised his debt ceiling?

He could have continued his normal spending habits, sent his wife on exotic vacations around the world, quaffed ale in Ireland, visited the Queen, golfed and not have had to change a thing.

Some people just don't understand 0bamanomics.

53 posted on 06/06/2011 12:00:43 PM PDT by N. Theknow (The MSM is to 0bama what the Broom-n-Scoop Detail is to a circus parade.)
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To: MHGinTN
I've been looking at those ‘tiny homes’....getting rid of all the unnecessary “stuff” and streamlining entirely. I like the idea very much. I could sleep in a loft quite comfortably I think. And if I wanted to move again I could take my home right along with me!

Every time I have moved I have stripped away so much unnecessary “stuff” until now I am able to live in a charming semi-efficiency aprtment. Complete with enclosed deck and garage. Unfortunately another move ahead....but a better area to live in.

Good luck on your new venture for stream lined living...

54 posted on 06/06/2011 12:01:32 PM PDT by caww
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To: Liz
The vast majority of real estate deals McMonigle does are multi-million dollar, all cash deals, with <30 day escrows. He doesn't have time in his day for people that need conventional financing. There are some financing issues that come up at times, but people at that level don't get their realtors involved if they need to fudge numbers.

That said, outside of the Newport Beach area, California is rife with exactly what you're describing. Those areas were also hit a lot harder. The NB market has some significant differences than the rest of California, and while it is depressed, it's by no means dead. Careful people are still making plenty of money.

McMonigle's problem is much less in the market, and much more in overconfidence. He's a monster agent with a killer company (The McMonigle Group) who'd still be deep in multi-millionaire territory if he hadn't gotten so far ahead of himself. No fortune is safe from a runaway ego.

55 posted on 06/06/2011 12:03:22 PM PDT by Steel Wolf ("There are moderate Muslims, but Islam itself is not moderate." - Ibn Warraq)
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To: brownsfan

living pay check to pay check at that level is stupid!!!!


56 posted on 06/06/2011 12:07:09 PM PDT by is_is (VP Dad of Sgt. G - My Hero - "Sleep Well America......Your Marines have your Back")
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To: PeterPrinciple
In EVERY bankruptcy, it is the lenders fault

Absolutely wrong.

There are tens of thousands who are forced to file due to mountains of medical bills which they couldn't pay for if they lived to be 300 years old.

57 posted on 06/06/2011 12:07:22 PM PDT by dragnet2 (Diversion and evasion are tools of deceit)
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To: facedown

Yes I knew a man years ago that got into money issues over his ranch- he mortgaged one ranch to the hilt, paid off a very nice little ranch- he and his wife divorced, she got the little paid off place. Bank forclosed, he went bankrupt- lost everything, auction of all his stuff. Then he and wife got back together and had a nice ranch and all that she got in divorce, they lived quite well debt free. It was amazing to me that it worked that way but it did.


58 posted on 06/06/2011 12:09:12 PM PDT by Tammy8 (~Secure the border and deport all illegals- do it now! ~ Support our Troops!~)
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To: SeekAndFind

Yeah, right. As if he doesn’t have a couple of millions stashed in some off-shore accounts.

(At least I would...)


59 posted on 06/06/2011 12:17:37 PM PDT by Moltke (Always retaliate first.)
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To: is_is

That depends.

Strictly speaking, he spent everything, so there is very little for the creditors to get back.


60 posted on 06/06/2011 12:23:30 PM PDT by Jonty30
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