NYC Public Advocate Jumaane Williams loses Brooklyn home to bank after racking up nearly $1M in mortgage debt
NYC Public Advocate Jumaane Williams recently faced a major setback in his personal finances, losing a two-family home in Brooklyn to Bank of America after accumulating nearly $1 million in debt by failing to pay his mortgage. The property, located at 1392 E. 98th St. in Canarsie, was purchased by Williams in 2005 for $370,500, with full ownership secured a year later.
The financial troubles began in 2006 when Williams took out a $389,600 mortgage on the property to fund a business venture – a vegan sandwich shop in Park Slope. However, the business failed, and Williams stopped making the $1,344 monthly mortgage payments in 2010. Despite earning $184,800 annually as public advocate and additional income from renting the property, Williams failed to meet his financial obligations.
Bank of America initiated a foreclosure action in 2014, eventually leading to a court judgment in favor of the bank in January. The outstanding mortgage debt, including interest and penalties, had ballooned to $784,927.13 by May 2023. Williams appealed the decision but lost, and the property was listed for sale through a foreclosure auction. Unfortunately, no bidders offered a price exceeding the debt owed, which now stands at $944,582.
Councilman Robert Holden, a critic of Williams, highlighted the public advocate’s inability to manage his own finances despite his taxpayer-funded salary. Williams has attributed his financial struggles to the loan terms and tenants who failed to pay rent, as well as the closure of his business in 2008.
Critics, including those from the camp of state Assemblywoman Jenifer Rajkumar, who is challenging Williams in the upcoming primary, have denounced his actions as hypocritical. Despite his public advocacy for tenants’ rights, Williams failed to make basic mortgage payments on his investment property, similar to the landlords he criticizes on the “Worst Landlords Watchlist.”
The property in Canarsie owned by Bank of America has been subject to fines from the Department of Sanitation, with Williams paying penalties for violations. Additionally, he has faced issues with unpaid water bills, although these have been settled since 2022.
Williams currently resides with his lobbyist wife and stepdaughter in a townhouse at the Fort Hamilton US Army Garrison in Bay Ridge, far from his former property in Canarsie. His spokesman, William Gerlich, attributes the foreclosure to exploitative banking practices and emphasizes Williams’ advocacy against rent hikes and predatory practices affecting New Yorkers.
In conclusion, Jumaane Williams’ financial troubles serve as a cautionary tale of the challenges faced by individuals in managing their personal finances, even those in positions of public advocacy. Despite his efforts to address housing issues in the city, his own financial missteps have raised questions about his credibility and ability to manage public affairs effectively.
