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Hip-hop mogul Sean “P. Diddy” Combs is in hot water following the March 2024 Homeland Security raid on his two properties and his September 2024 arrest. Combs has been charged with racketeering, sex trafficking, and transportation to engage in prostitution. Now, he allegedly has “no other choice” but to sell his Los Angeles mansion to cover his extensive legal fees.

Sean ‘P. Diddy’ Combs allegedly has ‘no other choice’ but to sell his LA mansion after his arrest

Sean “P. Diddy” Combs has officially been charged with sex trafficking, racketeering conspiracy, and transportation to engage in prostitution after months of speculation following the Homeland Security raid on his two properties. He pleaded not guilty to the charges in September 2024.

Homeland Security raided Combs’ homes in Miami and Los Angeles in March 2024. In July 2024, Combs put his LA mansion up for sale for $61 million. He originally bought the property in 2014 for $40 million. The 17,000-square-foot home contains 10 bedrooms, 13 bathrooms, and a multistory guesthouse.

So, why is Combs selling his place in LA? While one source told In Touch Weekly that “he doesn’t need the LA place” because his Miami home is the one he prefers, another source countered this. The second source alleged that Combs needs the money to pay his legal fees.

“Defending him against these serious charges is a huge undertaking, and it’s gotten very expensive,” the insider alleged. “He will hate to part with it, but he has no other choice.”

The hip-hop mogul allegedly owes around $100 million on mortgages

Sean 'P. Diddy' Combs smiling on stage against a red background at the 2022 Billboard Music Awards
Sean ‘P. Diddy’ Combs performs on stage during the 2022 Billboard Music Awards | Rich Polk/NBCU Photo Bank via Getty Images
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While Sean “P. Diddy” Combs has to pay hefty legal fees, he also allegedly has to pay millions of dollars in mortgages on his properties in LA and Miami. According to DailyMail.com, Combs borrowed $140 million from several banks to pay for his properties. As of March 2024, he still owed around $100 million on the mortgages. He allegedly needs to pay all of the money back in the next couple of years, and he owes one loan totaling $23 million by 2029.

Combs reportedly took out two $25 million mortgages in 2014 and 2021 to pay for the LA home he put on the market in 2024. He hasn’t paid off either mortgage.

Additionally, in November 2003, Combs took out two mortgages to buy a $14 million waterfront property on Star Island in Miami Beach. Two years later, in February 2005, he borrowed an additional $22 million.

His list of mortgages goes on. In total, Combs has taken out eight mortgages worth $139 million for properties. He allegedly still owes $97 million.

High-profile executives who worked with Sean ‘P. Diddy’ Combs are allegedly worried

Sean “P. Diddy” Combs’ arrest is concerning for several high-profile executives.

“There are at least five execs who have been advised to explore their options as they will not be protected by the shareholders if any allegations emerge,” an insider told DailyMail.com on Sept. 17, 2024.

“The labels are petrified because recording companies tend to be dragged into lawsuits,” the source continued, adding that “encouraging potentially troublesome executives to clean up their acts is their way of protecting themselves.”

Combs’ attorneys suggested the mogul be released on a $50 million bond with electronic monitoring at home. However, the judge denied him bail. Combs will remain in custody, as the judge deemed him a potential flight risk.

How to get help: In the U.S., call the RAINN National Sexual Assault Telephone Hotline at 1-800-656-4673 to connect with a trained staff member from a sexual assault service provider in your area. 

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