Melissa Gorga’s rep sets the record straight about mortgage

Melissa Gorga was the target of recent rumors regarding her and husband Joe Gorga’s financial state. The couple is selling their Toms River home for $520,000, however, it was reported that they owe $2.25 million after refinancing the property. There is some truth to the rumor but Melissa and Joe’s rep is setting the rest straight.

“The Gorgas are not in financial trouble,” the Gorgas’ rep told Us Weekly. “The documents in question represent the construction loan that the Gorgas took to build their main home, which used their shore house as collateral. Once the Gorgas secured a permanent mortgage, which is a matter of public record, that construction loan was null and void. The bank is currently correcting the paperwork.” There you have it! What was thought to be a huge debt, was simply a typographical error.

The main home that the Gorga’s rep is referring to is their Montville Township estate, which fans have seen on Real Housewives of New Jersey. The massive home is also on the market for a whopping $3.8 million! Although it has been assumed that they are selling their homes in an attempt to get out of debt, the couple is simply relocating back to Franklin Lakes which is where their families are. Plus, once they move, they will be closer to Joe’s work.

Melissa previously said that her and Joe are actively looking for a new home but have not yet found anything. Her husband Joe is a developer and will surely make whatever home they buy into a beautiful home.

UPDATE: On the reunion special Melissa says they’re moving to get their kids away from Joe and Teresa Giudice’s children.

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  • Tinia

    So its the banks fault? This just sounds like a lie.

  • V

    Sounds fishy

  • mrs JOnes

    they are moving so they can be close to Joe’s work? LMAO. So work means club hopping and the dozen of appearances they do? When does Joe have time to work?

  • steph

    How is it that every developer in American has suffered with the housing market crash yet this guy is doing amazing….it just doesn’t add up.

    • Dubbalicious

      I couldn’t agree more. I’ve been saying the same thing for months now!! We suffered the worse housing crisis in decades and the Gorga’s are making money hand over fist.
      Okay, I’m not buying it. They always have an answer for their problems.
      I wish they’d just go away!

      • Dollarboss

        Mafia money!!! They all are involved with it somehow!!!

  • Nancy6

    Moving so they can be closer? Franklin Lakes is only 14 miles away.

    People who are financially secure to not need a $2.25 million dollar loan to build a $3 million dollar house. If you look at their own paperwork, they lived in that big house for free under a construction loan until the bank found out. Then they converted to a mortgage. Plus there is no record of a lien release on the shore house. That means that it is still collateral for the $2.25 loan which means that whatever they get out of it goes to pay off the main note and then the big loan. No offense but people who are financially secure do not sell properties they don’t make a profit off. They hold them and rent them.

    This does not pass the smell test.

  • LisaM

    Seems like they all have financial problems or have been sued or are being sued.

  • helloisitme

    ummm i just don’t buy it. Watching the show makes it evident that Joe is an idiot. Its hard for me to believe he’s savvy enough to have truly created the lifestlye they live in the economic situations we’ve gone thru. The proof is in the pudding. He can barely thread together a logical statement.

  • Amy

    Melissa and Joe – you are nothing special in the sense that all these HWs and husbands (save a rare few) are nothing but posers and I am pretty confident you are among the biggest ones.

    I do not believe anything they spin. Time will tell

  • Kaylie

    Joe Guidice and Joe Gorga are both into sketchy business. Like others have said, there is NO WAY they are that financially secure in the business that they do. Not in this economy, at least. They are definitely both in like the Mob or something. They’re both so untrustworthy. I don’t know how couples live beyond their means like that. The only reason I ever use a credit card is so that I can get a decent loan eventually. If I could get a good, low-interest-rate loan without credit I wouldn’t even use my credit card.

    • NJborn

      Sorry to disagree with you Kaylie but if these guys were in the mob they would both be dead by now. They are POSERS. Saw to many of them when I was a cocktail waitress during the summer off from college. bet ya they went to Joey Harrison’s Beach Club. Acted like tough guys till the real guys came in then they SHUT UP! LOL

  • GOP2012

    Not buying it. Isn’t Joe’s “work” wherever the property is he is renovating? Are they all on the same street? Oh yeah. He bought that whole block of old buildings. Probably a 2 year project and he’s going to sell his multi million dollar home and relocate his family for that? A 20 minute drive. Nice try.

  • Claudia Rendon

    “Her” and Joe are actively looking…? How about “she” and Joe. Editor!…..