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The winner of the $2 billion Powerball jackpot has been buying fancy homes around Los Angeles

The winner of the record-breaking $2 billion Powerball jackpot has wasted little time enjoying his newfound riches—and he’s been focused on California real estate.

Castro bought the winning ticket last November at a Mobil gas station in Altadena, about 30 minutes outside Los Angeles. He came forward to claim his prize in February, choosing to receive nearly $1 billion in cash, which after taxes came out to about $628 million. The other option was to collect the full prize through an annuity over 29 years, which many financial advisors consider the better strategy.

In March, Castro bought a $25.5 million hillside home in Hollywood Hills, not far from celebrities like Jimmy Kimmel and Ariana Grande. One of the neighborhood’s priciest sales ever, the five-bedroom, six-bathroom house sports a gym, game room, wine cellar, and movie theater.

Castro also spent $4 million on a Japanese-inspired house in Altadena, his home town, close to the gas station where his fortunes changed. It has five bedrooms, five bathrooms, and a saltwater pool, according to the listing.

And he made a much splashier purchase earlier this month, forking over $47 million for a seven-bedroom, 11-bathroom home with a large infinity pool and panoramic views of Los Angeles, according to USA Today, which noted he now owns a vintage Porsche 911.

California law requires that the names of lottery winners be made public. Many jackpot recipients would rather keep their good fortune private, with safety being one concern. Castro declined to appear at a news conference held by lottery officials, but he did release a statement indicating he was “shocked and ecstatic” to have won.

California lottery director Alva Johnson said in February that Castro would like to “largely remain private.”

The owner of the gas station that sold the winning ticket said that Castro, once a regular customer, paid him a visit.

“He just came to tell me, ‘Thank you. This changed my life,’” Joseph Chahayed told the Los Angeles Times in March. “I encouraged him to be generous.” (Chahayed, who immigrated from Syria in 1980, hit a jackpot as well, with his gas station awarded $1 million for selling the winning ticket.)

While Castro quickly set about enjoying his new wealth, financial advisers suggest taking some time before making large purchases in order to let your emotions settle down.

“Don’t go out and buy a Ferrari, don’t buy a mansion,” Emily Irwin, managing director of advice and planning at Wells Fargo’s Wealth & Investment Management, told Fortune in July. “Maybe you have student loans you want to pay off, that makes sense. But try to avoid that mega purchase.”

And before claiming the prize, she advises, assemble a team of professionals who can help manage the money effectively, such as a lawyer, a financial advisor, and perhaps a philanthropic advisor.

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by Anonymousreply 32September 19, 2023 12:24 AM

There goes the neighborhood!

by Anonymousreply 1September 17, 2023 1:44 PM

That's exactly what I'd do.

Buy property.

by Anonymousreply 2September 17, 2023 1:45 PM

I'd buy two chips and a coke.

by Anonymousreply 3September 17, 2023 1:47 PM

[quote]And before claiming the prize, she advises, assemble a team of professionals who can help manage the money effectively, such as a lawyer, a financial advisor, and perhaps a philanthropic advisor.

Uh-huh, and how much are these barnacles gonna cost you?

by Anonymousreply 4September 17, 2023 1:52 PM

LA expensive real estate is a risky investment. Hope he loses millions.

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by Anonymousreply 5September 17, 2023 2:01 PM

Buying one or two properties makes sense, but if he spends too much and doesn't maintain them, pay taxes, etc. he'll lose them as quickly as he got them.

This is a common mistake that lottery winners make, spending and giving away money they think will last forever, and then eventually running out. Taxes take a lot of winnings, and every house, boat, car etc. has maintenance costs attached, so it's NEVER just the money for the initial purchase. Most people don't understand that, though.

by Anonymousreply 6September 17, 2023 2:07 PM

It sounds like he doesn't know what he's doing. I would buy taxpayers/shopping centers that provide an income while hopefully going up in value and he should only spend the money on the income after expenses that these properties provide then he could potentially remain rich for life.

by Anonymousreply 7September 17, 2023 2:13 PM

Tori's house is for sale again, maybe this idiot will pick this one up too.

And next time, get a lawyer and buy the house under a trust name so it's a bit more difficult to trace ownership.

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by Anonymousreply 8September 17, 2023 2:17 PM

I love the Wells Fargo guy telling him not to buy a Ferrari or mansion. Why not? He went from having nothing in his pocket to half a billion.

What he should have been told is, yes, buy a mansion and a Ferrari. But take the annuity, and after the car, house and world trip are out of the way, hire a financial advisor and do what he says. Then you’ll having an amazing life the rest of your life, rather than overheating and ending up broke again.

by Anonymousreply 9September 17, 2023 2:32 PM

It is ok to buy a Ferrari and a Mando It is not ok to buy a Ferrari and a mansion for everyone.

by Anonymousreply 10September 17, 2023 2:43 PM

He'll die broke one day. Mark my words.

by Anonymousreply 11September 17, 2023 2:53 PM

Whether he keeps it or loses it, the bottom line is that he has a billion dollars now, which none of the rest of us can say.

by Anonymousreply 12September 17, 2023 11:18 PM

$628 K, and he's not supposed to buy a Porsche?! GTFOOH.

by Anonymousreply 13September 17, 2023 11:49 PM

I’ll bet the Altadena property is for his family. He seems like a nice kid. I wish him the best.

by Anonymousreply 14September 18, 2023 12:01 AM

Speak for yourself, poor at r12.

by Anonymousreply 15September 18, 2023 1:31 PM

Maureen McCormack's parents invested her Brady Bunch earnings in residential real estate. She owns ordinary properties all over the San Fernando Valley, and fifty years later, it still pays her enough that she doesn't have to work.

Buying property is only half the advice. You also have to make the property earn money for you. California real estate is a fuck-salad of taxes and regulations, but there's a big open country full of real estate opportunities out there.

by Anonymousreply 16September 18, 2023 1:44 PM

I believe you're thinking of Eve Plumb, R16.

And as you noted, those are/were ordinary properties. Buying $20-45 million estates isn't a good way to invest in real estate. The potential customer base is tiny, and those people tend to prefer to build their own lavish estate.

It will be interesting to see whether this guy winds up broke down the line.

by Anonymousreply 17September 18, 2023 4:38 PM

"I believe you're thinking of Eve Plumb, R16."

It was waterfront Malibu real estate. She sold years ago

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by Anonymousreply 18September 18, 2023 4:46 PM

I don't get why you would invest at all.

Buy a house, buy a car, give money to family within reason.

Even if you blow $128M up front, $500M sitting in a 2.5% bank CD/bank account (or probably spread among multiple banks), would pay $12.5 million a year. More than enough to live a lavish lifestyle (because of no house payment).

by Anonymousreply 19September 18, 2023 4:46 PM

But he did the right thing by buying the newest house in Bel Air - that location will always fetch money even if it’s just the real estate. The first house which I actually liked more than this, was in Hollywood Hills, and that real estate will not appreciate as well as Bel Air - Beverly Hills - Holmby Hills.

by Anonymousreply 20September 18, 2023 4:48 PM

R18 I am not. Maureen wrote about it in her book, and told Howard Stern about it years ago.

Perhaps BOTH actresses got into real estate.

by Anonymousreply 21September 18, 2023 5:35 PM

[quote] That's exactly what I'd do.

[quote] Buy property.

Exactly! A man with the surname "Castro" in Los Angeles County probably has an army of skilled tradesmen within his family. He can become a multi-billionaire renovating and flipping mansions in Los Angeles.

by Anonymousreply 22September 18, 2023 6:35 PM

[quote] Even if you blow $128M up front, $500M sitting in a 2.5% bank CD/bank account (or probably spread among multiple banks), would pay $12.5 million a year. More than enough to live a lavish lifestyle (because of no house payment).

Oh, honey...

A mortgage is only a sliver of the pie. I will cost you MILLIONS in taxes, insurance and maintenance.

by Anonymousreply 23September 18, 2023 6:39 PM

I would go through every hoop imaginable to be anonymous - I would live in a high end hotel suite because I feel a highly public and corporately owned location is actually the best security you can get, but I'd look into whatever was safest I don't care for luxury. I'd invest most of my money into sectors that will obviously grow through demographic shifts (video games, cloud computing, AR, VR, AI, alternative energy, gentech, biotech, weed, psychedelics) and spend the rest of my life being a fucking whore!

by Anonymousreply 24September 18, 2023 6:41 PM

I would spend it all on candy and more lottery tickets.

by Anonymousreply 25September 18, 2023 6:44 PM

I would buy a couple of hot cars right off the bat.

by Anonymousreply 26September 18, 2023 6:50 PM

I would buy a couple of hot cars right off the bat.

by Anonymousreply 27September 18, 2023 6:50 PM

R24 needs a doxyPEP.

by Anonymousreply 28September 18, 2023 6:58 PM

R5 you make no sense.

by Anonymousreply 29September 18, 2023 7:02 PM

I would travel the world. First class all the way. Maybe have a beach house in Malibu. Take care of my family members. Give some to animal and cancer charities. I never play the lottery, though.

by Anonymousreply 30September 18, 2023 10:52 PM

I'm older and at this stage of my life not terribly motivated to buy expensive crap. But, with my big $ win- would set up trust accounts to independently fund High School libraries, school newspapers, theater depts. ,etc so they don't have to deal with wacko , hysterical school boards that are currently shutting them down. I will be hiring lots of private investigators to follow these 'family values' (anti gay) politicians, public figures, preacher types and bust them for their lurid transgressions. Set up legal educational endowments to train current and future generations of young people to defend our fragile US republic against these maga assaults. Another boatload of $ goes to animal protection laws and shelters. The extremist right wingers will curse the day I was born.

by Anonymousreply 31September 18, 2023 11:26 PM

You get a whore. And you get a whore. You ALL GET A WHORE!

by Anonymousreply 32September 19, 2023 12:24 AM
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