Whitney Houston might be going through some financial woes again after spending her entire personal fortune.
Whitney Houston has reportedly spent her entire fortune, including the $100 million she received from a record deal in 2001, and most people are asking questions on how one person can burn through so much cash.
A source exclusively told Radar Online that the singer has spent every last cent she has, and has recently resorted to asking for small loans from friends.
The shadowy insider also claimed the 48-year-old is being financially supported by her new record label, after Arista disbanded last year. RCA Records has supposedly made advance payments for her next album. Radar Online’s source states that homelessness could even be an issue for the star, such are her money woes:
“Whitney’s fortune is gone. Music industry heavy hitters are supporting her and her label is fronting her cash against her next album, but no one knows when that will be released. […] She might be homeless if not for people saving her. She is broke as a joke.”
Houston signed a colossal $100m record deal back in 2001 with Arista/BMG. The sum was an advance for her next six albums, five of which were released with the Arista brand.
Where has that $100 million gone in the last decade? Some suggest Houston’s crack cocaine addiction (which she has now overcome) sucked up a huge portion of her windfall. And, as the diva writes very few of her songs, she misses out on potentially lucrative royalties. In what could be interpreted as an early sign of her cash flow problems, Houston put her $2.5m mansion on the market in late-2009, a year after selling another property for $1.2 million.
However, a spokesperson for Houston has said the claims about the singer’s fortune are baseless.