As if foreclosure didn’t cause enough problems, the Associated Press is reporting that the increase in foreclosure activity throughout California is exacerbating West Nile virus dangers.

That’s because abandoned or vacant homes with untreated swimming pools are becoming breeding grounds for mosquitoes, which are responsible for spreading the virus to birds, horses and humans.

In fact, according to the report The Greater Los Angeles County Vector Control District got 288 service requests last month — nearly double the activity at the same time in 2007.

With so many homes in foreclosure throughout the “Golden State” it is becoming more and more difficult for lenders and local governments to manage and address the needs of all foreclosure properties.

It’s a nightmare scenario that goes to show the far-reaching effects of foreclosure.

West Nile virus is spread by mosquitoes. Its symptoms include fever, headache, chills, weakness and drowsiness. However, severe cases can lead to life-threatening complications such as meningitis and encephalitis.

Ed McMahon — the iconic television personality who is perhaps best known for his role as an announcer on the “Tonight Show” with Johnny Carson for three decades — has defaulted on a $4.8 million home loan and is in danger of losing his Beverly Hill, Calif., residence to foreclosure, according to WSJ.com.

The report indicates that McMahon has been actively attempting to sell the house for the past two years and has reduced the price to $5.75 million.

However, the 85-year-old celebrity and the mortgage lender, Countrywide Financial Corp., are now working together to hammer out a resolution that ensures McMahon and his wife remain in their six-bedroom home.

So how does something like this happen to such a well-known — and seemingly wealthy — homeowner?

His lawyer indicates that a slumping housing market, as well as a broken neck sustained 18 months ago that has prevented McMahon from working, are the causes behind the foreclosure proceedings.

It’s a painful reality that McMahon shares with many homeowners throughout California and beyond. In fact, his lawyer issued this statement from the McMahon’s:

“… understand that they are in the same situation as hundreds of thousands of other hard-working Americans, and their hearts go out to them.”

There are several options still open to avoid foreclosure. And it’s not just because McMahon is famous. It’s important to be open and honest with lenders and open the lines of communication as soon as possible.

Often times banks will bend over backwards to ensure that their loans don’t end up in foreclosure — no matter who you are … especially right now.

Rep. Laura Richardson (D-Long Beach) of Sacramento, Calif., defaulted on her mortgage payments and her South Bay home was sold in a recent foreclosure auction, according to the Daily Breeze.

It’s actually the third property of hers to fall behind on bank payments — Richardson is also in jeopardy of losing real estate in Long Beach and San Pedro. She seems to have saved the Long Beach home from foreclosure; however the San Pedro residence is eight months past due and an auction date is already scheduled.

In addition to the various mortgage defaults, Richardson also failed to make almost $9,000 in payments for real estate taxes.

Here’s what she had to say about the mess:

“I should have moved forward in an earlier fashion. I acknowledge that. I intend never to conduct business in that fashion again…. I have financial obligations, and I will fulfill those financial obligations. – There will be no debts to the state of California…. I am not financially wealthy. I am not a millionaire. – Based upon what I was going through, changing four jobs in less than one year, I think any American would understand what that does in terms of a person’s financial stability.”

According to the report, Richardson makes an annual salary of $169,300 as a member of Congress. And as a member of the Assembly, she earned about $116,000 in addition to a per diem for living expenses in Sacramento.

Former professional baseball superstar Joe Canseco just didn’t have the “Juice” or the desire to hang on to his 7,300-square foot mansion in Encino, Calif., according to Yahoo!News.com.

In fact, he simply walked away from the $2.5 million home because it “didn’t make sense” to continue paying the mortgage. Unsurprisingly, the lender has issued foreclosure proceedings to reclaim its asset.

Here’s a snip from the former “Bash Brother”:

“I do have a judgment on my home and it to me is very strange because it didn’t make financial sense for me to keep paying a mortgage on a home that was basically owned by someone else. You know my life, this financial thing, is a very complicated issue. Obviously, when you make all that money, people think, `OK, let’s assume it is $35 million.’ People have to understand that $35 million, you’re paying the government 41 percent. That leaves you with about $17 or $18 million, not even. Then you’re taking care of your whole family.”

Canseco, the 1998 American League Most Valuable Player (MVP) and six-time All Star, reveals that divorces have also cost him millions.

He essentially retired from the sport in 2002 despite some unsuccessful attempts to return since that time.

However, in 2005, Canseco penned a controversial autobiography dubbed, “Juiced: Wild Times, Rampant ‘Roids, Smash Hits & How Baseball Got Big”, which was a scandalous glimpse into his own steroid abuse, as well as (allegedly) his peers, and much more.

It was a best seller. And there’s recent news that he’s signed on to write a sequel.

Cha-ching.

It appears that “The King of Pop” music, Michael Jackson, is getting closer to losing his sprawling Neverland Ranch estate located in Los Olivos, Calif., to foreclosure.

Here’s the latest from FOXNews.com:

“According to sources, the mortgage broker trying to find refinancing for Jackson on a $23 million loan held by Fortress Investments using Neverland as security has so far come up empty. There is literally no interest from anyone in saving Jackson in this situation. If Neverland is not refinanced, Fortress can foreclose and sell the ranch at auction. “

Back in November 2007 we first passed along news that foreclosure action was possible on the massive home located at 5225 Figueroa Mountain Road in Santa Barbara County. To check out the listing on Foreclosure.com click here.

The report indicates that Jackson’s Neverland Ranch “may be vulnerable to foreclosure next Friday [January 18].” Stay tuned for more details.