‘RHOBH’ Star Dorit Kemsley & PK Facing Foreclosure Again Over Tax Trouble!
Dorit Kemsley and her estranged husband, Paul “PK” Kemsley, may be facing another serious financial setback — this time with their $6.5 million Encino mansion hanging in the balance.
Just weeks after the Real Housewives of Beverly Hills stars reportedly paid off a $300,000 notice of default to avoid foreclosure, the couple is said to be “on the verge” of losing the home again due to unresolved tax issues tied to Dorit’s business entity.
According to a new report from The U.S. Sun, Dorit, 48, and PK, 56, bought their Encino property in 2019 for $6,475,000 through an LLC in Dorit’s name, though both signed a promissory note to guarantee the mortgage.
That LLC has now been suspended by California’s Franchise Tax Board (FTB), which could trigger another mortgage default.
“With the entity being suspended, it is most likely a loan default,” attorney Ronald Richards told The U.S. Sun on May 5. “For the FTB to suspend the entity, they have not paid taxes or filed returns for a while … It is a bad symptom for the borrowers.”
Ronald explained that mortgage defaults aren’t limited to missed payments. “A lender can default for non-monetary violations like non-payment of property taxes or if the entity is suspended,” he said. “There are many covenants to a loan besides making the payments on time … I think if the lender finds out about this, they will order her to cure it, and if she doesn’t, issue a new default.”
While the exact amount the couple reportedly owes hasn’t been disclosed, Ronald warned that the lender could move forward with another default notice. And since the LLC is suspended, Dorit would be unable to defend it in court if the matter escalated to legal action.
To lift the suspension, Dorit and PK would need to resolve any outstanding tax debts and bring the LLC back into compliance. If they fail to do so, foreclosure on the home becomes a real possibility once again.
This isn’t the first time the Encino property has been at the center of their financial troubles. Back in 2020, just a year after purchasing the residence, the couple listed it for $9.5 million. When it didn’t sell, they slashed the price to $7.9 million — but eventually pulled it off the market altogether.
Meanwhile, the couple’s split has also made headlines. Dorit filed for divorce in late April, shortly after photos surfaced of PK kissing model Shana Wall during what appeared to be a dinner date in Los Angeles.
Despite the personal and financial turbulence, PK shared a seemingly optimistic message on Instagram on May 2, just days after the divorce news broke.
“57 years in, still becoming,” he captioned a black-and-white photo of himself mid-phone call, hinting at personal growth amid the chaos.
Dorit and PK share two children together: son Jagger, 11, and daughter Phoenix, 9. The Real Housewives of Beverly Hills is currently off-air, but with legal and personal drama continuing to unfold, fans are already speculating about what could make it onto the next season.
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Olivia Davis is a Staff Writer at All About The Tea. Olivia’s hobbies include binging Netflix series, and watching Housewives on Bravo. She graduated from San Francisco State University with a degree in History.
