Last Friday, Melissa and Joe were in Superior Court in Morristown. But this time, the housewives couple was the plaintiff and the offended party. As you recall, Melissa and Joe put their Montville home on the market for $3.8 million and were having a hard time getting an offer. Here is what I said about that at the time:
While the house was on the market, They refinanced again, with a principal of $2,185,199.07 and a new interest rate of 5% in April of 2011 giving them a monthly payment of $11,829.40 They began making those payments on April 1 of 2011. At the same time the did this refi, they signed an Assignment of Leases agreement. Where essentially the bank was given all rights to any rent that would be received from renting the property in any way. I’m not sure what that was about. They could have been planning to rent the property rather than selling it, or were preparing for a possible rent to own sort of contract, or perhaps Bravo was technically renting a portion of the property in some way for filming. Whatever the reason the bank had a special agreement regarding any rent that the Gorgas might receive or did receive.
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I’m not sure where these “moving to LA” rumors came from but the Gorga’s official story in US Weekly seems to be the want to be back in Franklin Lakes for the school system. Looks to me like they just need to get out from under the big monthly mortgage payments. They’ve got just over 3 million in the property and will likely be unable to get anywhere near that. Zillow values the houses on their small street in the range of $1.5 million. Looks like they are upside down.
So the Gorga’s eventually found someone who wanted to lease to own. Enter Kai Patterson, who agreed to pay $20,000 a month to rent the property and moved in. The reason that Joe was in court Friday is that Patterson’s rent check for April bounced and no further payments have been made for May or June, if the tenant is still there in July, Joe is out $80,000.
Patterson and Gorga entered into a long-term lease to own agreement where the tenant was to pay $20,000 a month in rent, and if the house was purchased within 12 months the buyer would get a credit of $100,000 toward the purchase price (presumed to be $3.8 million.)
Patterson did not show up for court on Friday on time so a default judgment for eviction was entered. Patterson did show up after everything was over and can file to have the judgment vacated. In other words, they seem to be back to square one.
Here are my questions. First, is that pesky little Assignment of Leases Agreement still in effect? If so, wouldn’t the $80,000 belong to the bank and not to Joe? How in the heck is Joe opening up a sanitation business if their finances are so bad that they are upside down on the mortgage? Is the sale price really $3.8 million as some NJ media outlets suggest? Where are the RHONJ people getting their money from?
From where I am sitting, the Gorgas seem to be financially strapped while feigning a life of luxury. We’ve seen the Giudices get in criminal trouble for these sorts of situations. The Lauritas are still battling a civil suit for allegedly spending company investments on personal items like cars and handbags. Why are so many people connected to RHONJ in such huge financial debt?
The biggest problem for all of them is ” THEY LIVE BEYOND THEIR MEANS!). It is so obvious. These homes are gorgeous, but it takes big bucks to maintain them. Guess that’s why the Brits open their homes up for tours. I don’t know what the building industry is like in NJ but everywhere else it is not the best. Here comes the big houses of these housewives and all the glamour that gos with it. Not even mentioning the clothes and makeup artists. Can’t these women put on their own make up, good grief.
You hit the nail on the coffin, it makes no sense when all of america is struggling with this economy to keep this fasad of fakeness up, it just makes no sense. ESPECIALLY WHEN RARELY DO WE SEE ANY OF THESE PEOPLE “WORK”!!!! Both men were in the housing business and if like most of the country, where all hell broke loose financially suffered like we all did, why not own up to it and deal with it? No instead, they kept up this fake fasad and look what happened and they did this all just to support their wives and Bravo this show…..the only people that really kept it real, was the one person that actually got up and went to work and that was AL Manzo!! Its ridiculous the extravagant perks these women went through just to be on tv only to have this whole thing blow up in thier face…and Joe, Mellissa married you for you money, end of story!!
Hi! Brit resident here. The reason a lot of wealthy families here open up their houses to the public is because of death duties. Basically, when the original owners die, there is no way in hell their heirs can pay the inheritance tax bill. Some choose to sell up entirely (Russian oligarchs and Arab sheikhs love a good stately home), while others will make an arrangement with the National Trust to have the building mostly turned over to the public for tours and events, with the family occupying a small private suite. It’s an arrangement that works quite well: the aristos get to continue at the family seat, while us plebs have some amazing wedding venue options available!
I don’t thk that is her point in regard 2 working, we know they r getting paid 4 rhonj with bravo checks, lots of perks etc. The crux of the situation is that they r digging themselves into hole called bankruptcy. U will leave the same way u got into this BROKE.
Does Bravo not check these peoples finances out before they join the cast to make sure they actually have the money some are obviously pretending to have?
It comes down to the fact that… People are so thirsty they will do ANYTHING to be famous. EGO is a powerful drug and it is the down fall of many a otherwise intelligent person. The salary of Bravo is in no way enough AT THIS POINT to finance such a obsorbient life style. I have not seen on the show Joe G. Get up and go to any job. Then Melissa showed us her fake singing career for lack of a better story line that joe poured tons of his own money into. All the new gowns, Birkin bags, red bottom shoes,range rovers, hair and make up artist,stylist, limo’s, nannies, this cost a shit load of money. so if you didn come into this with money you could possibly go broke working for Bravo. This HW Franchise is all SMOKE AND MIRRORS!
Why would Bravo care what the cast members finances are? It’s about appearances and drama.
Reality stars are not in a position to steal from Bravo so their debt isn’t a factor for employment.
Many jobs require a low debt ratio, being a loud mouth reality isn’t one if them.
$11,000 monthly mortgage. WOW
Now they owe that money + whatever home they are leasing too.
Are they still building a new home?
They need to move in with Tre 😉
I think it has to do with the fact that all of these people are “grasshoppers”. They only care about today, and damn the consequences. If they cared about their futures they wouldn’t try to go through all these hoops to keep up their lifestyles.
Hi Tamara I have a question, please do not beat me.
Why would the $80,000 be the banks money?
Sure, Joe and Melissa should make payments monthly on their mortgage, but I rented my house out when I had a mortgage on it. I profited very little, but that is beside the point.
Was the house in foreclosure?
I am sorry, I’m not up on the financials on Jersey.
Fame can create debt – that’s for sure.
You may have seen it, but I doubt you get it. Because I don’t either. For some reason the bank made them sign an agreement saying the bank gets any rent. Maybe they are way behind with the bank?
If you recall, when the Feds did the forensic accounting on the Giudices, there was a mind boggling lack of equity in their house.
On Wed, Jul 2, 2014 at 6:43 AM, Tamara Tattles wrote:
The bank agreement does not make sense, unless the bank thought it would be profitable . The Gorga’s have a mortgage and they would be obligated to pay the mortgage of $11k. Does that mean the renters check payments are made to the bank?
I dunno, Katrina. The property records in NJ are all available online including the mortgages. I went through them all during that original posting, and the rent money thing was there, I found it odd at the time, and it is still odd.
On Wed, Jul 2, 2014 at 6:58 AM, Tamara Tattles wrote:
They’re financially strapped because they ‘pay their bills.’
How can these folks afford lawyers?
Sounds like they couldn’t pay their bills and the house was going into receivership.
“Fake it Til You Make It”
The biggest problem for all of them is ” THEY LIVE BEYOND THEIR MEANS!). It is so obvious. These homes are gorgeous, but it takes big bucks to maintain them. Guess that’s why the Brits open their homes up for tours. I don’t know what the building industry is like in NJ but everywhere else it is not the best. Here comes the big houses of these housewives and all the glamour that gos with it. Not even mentioning the clothes and makeup artists. Can’t these women put on their own make up, good grief.
You hit the nail on the coffin, it makes no sense when all of america is struggling with this economy to keep this fasad of fakeness up, it just makes no sense. ESPECIALLY WHEN RARELY DO WE SEE ANY OF THESE PEOPLE “WORK”!!!! Both men were in the housing business and if like most of the country, where all hell broke loose financially suffered like we all did, why not own up to it and deal with it? No instead, they kept up this fake fasad and look what happened and they did this all just to support their wives and Bravo this show…..the only people that really kept it real, was the one person that actually got up and went to work and that was AL Manzo!! Its ridiculous the extravagant perks these women went through just to be on tv only to have this whole thing blow up in thier face…and Joe, Mellissa married you for you money, end of story!!
Um… You realize that if you are seeing them, they are working, right?? They don’t both get paid but they are both working.
Hi! Brit resident here. The reason a lot of wealthy families here open up their houses to the public is because of death duties. Basically, when the original owners die, there is no way in hell their heirs can pay the inheritance tax bill. Some choose to sell up entirely (Russian oligarchs and Arab sheikhs love a good stately home), while others will make an arrangement with the National Trust to have the building mostly turned over to the public for tours and events, with the family occupying a small private suite. It’s an arrangement that works quite well: the aristos get to continue at the family seat, while us plebs have some amazing wedding venue options available!
I wouldn’t compare the stately homes transferred to the National Trust to the catalogue McMansions of these faux nouveaux riches.
I don’t thk that is her point in regard 2 working, we know they r getting paid 4 rhonj with bravo checks, lots of perks etc. The crux of the situation is that they r digging themselves into hole called bankruptcy. U will leave the same way u got into this BROKE.
Denial is one big hole to climb out of, that’s for sure.
Does Bravo not check these peoples finances out before they join the cast to make sure they actually have the money some are obviously pretending to have?
Clearly not.
lol If they did we would have no RHONJ or RHOA…
On Tue, Jul 1, 2014 at 4:07 PM, Tamara Tattles wrote:
>
It comes down to the fact that… People are so thirsty they will do ANYTHING to be famous. EGO is a powerful drug and it is the down fall of many a otherwise intelligent person. The salary of Bravo is in no way enough AT THIS POINT to finance such a obsorbient life style. I have not seen on the show Joe G. Get up and go to any job. Then Melissa showed us her fake singing career for lack of a better story line that joe poured tons of his own money into. All the new gowns, Birkin bags, red bottom shoes,range rovers, hair and make up artist,stylist, limo’s, nannies, this cost a shit load of money. so if you didn come into this with money you could possibly go broke working for Bravo. This HW Franchise is all SMOKE AND MIRRORS!
Why would Bravo care what the cast members finances are? It’s about appearances and drama.
Reality stars are not in a position to steal from Bravo so their debt isn’t a factor for employment.
Many jobs require a low debt ratio, being a loud mouth reality isn’t one if them.
$11,000 monthly mortgage. WOW
Now they owe that money + whatever home they are leasing too.
Are they still building a new home?
They need to move in with Tre 😉
The tenant contacted TT with their side:
http://s17948.p858.sites.pressdns.com/2014/07/01/joe-gorgas-tenant-kai-patterson-responds-to-default-judgment/
it’s amazing, I’ll read the tenant side on the next link TT.
Hmmmm… maybe soon we will get a realistic “RHONJ” as we watch the recession hit everyone, forcing them to downsize and live within their means.
LOL you’re dreaming!
I think it has to do with the fact that all of these people are “grasshoppers”. They only care about today, and damn the consequences. If they cared about their futures they wouldn’t try to go through all these hoops to keep up their lifestyles.
Hi Tamara I have a question, please do not beat me.
Why would the $80,000 be the banks money?
Sure, Joe and Melissa should make payments monthly on their mortgage, but I rented my house out when I had a mortgage on it. I profited very little, but that is beside the point.
Was the house in foreclosure?
I am sorry, I’m not up on the financials on Jersey.
Fame can create debt – that’s for sure.
Wait. I think I remember Melissa in her bravo blog saying the refinanced their house or something?
Disregard my question. I just saw. Sorry, it is early.
You may have seen it, but I doubt you get it. Because I don’t either. For some reason the bank made them sign an agreement saying the bank gets any rent. Maybe they are way behind with the bank?
If you recall, when the Feds did the forensic accounting on the Giudices, there was a mind boggling lack of equity in their house.
On Wed, Jul 2, 2014 at 6:43 AM, Tamara Tattles wrote:
>
The bank agreement does not make sense, unless the bank thought it would be profitable . The Gorga’s have a mortgage and they would be obligated to pay the mortgage of $11k. Does that mean the renters check payments are made to the bank?
I dunno, Katrina. The property records in NJ are all available online including the mortgages. I went through them all during that original posting, and the rent money thing was there, I found it odd at the time, and it is still odd.
On Wed, Jul 2, 2014 at 6:58 AM, Tamara Tattles wrote:
>
It sounds like the refi mortgage approval was contingent on pledged monies anticipated from rental income, I.e. bravo rental or otherwise.