Long Beach Rep. Laura Richardson’s Sacramento house up for short sale
The Sacramento home of Rep. Laura Richardson (D- Long Beach) has been listed for short sale, months after Sacramento County documents indicated that the congresswoman was behind in payments on the property by more than $42,000.
Richardson’s real estate woes have been well chronicled since Capitol Weekly reported that her house had slipped into default in 2008. The home was seized by the bank and sold at auction, apparently without Richardson’s knowledge. Richardson said she learned that her house had been sold only after reading the news reports.
In a highly unusual move, the foreclosure sale was later rescinded, after a deal was reached with the auction buyer and Richardson’s bank. Neither party would discuss the terms of the agreement.
Documents from the Sacramento County recorder’s office indicate that Richardson’s home went back into default in November 2009 and that more than $42,000 in back payments was due on the property. Richardson spokesman Jeff Billington said that notice was a clerical error and the house was not in default.
The house is listed at $399,000, far below the $535,001 Richardson paid for it. The listing is a short sale, meaning the bank has agreed to let the owner sell the property for less than what is owed on it.
Richardson bought the three-bedroom, 1,639-square-foot house in January 2007, after she was elected to the Assembly. She spent only a few months in that office before winning an August 2007 special election to Congress.
Richardson received a $535,001 loan from Washington Mutual for the property, with no down payment.
She is running for reelection Nov. 2. Her main challenger is Republican Star Parker, author of a memoir about getting off welfare and becoming a born-again Christian. Democrats have a registration advantage in the 37th Congressional District of 60% registered Democrats to 16% registered Republicans; 19% of voters declined to state their affiliation.
York is the editor of Capitol Weekly and of The Times’ state government and politics blog, PolitiCalhttps://www.latimes.com/california-politics.
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