Neverland Ranch Scheduled for Auction--For Now

According to CNN, a source close to pop star Michael Jackson said on Wednesday that Jackson will avoid foreclosure on his Neverland Ranch with a new loan.

Documents show that the ranch, located in Los Olivos, Calif., is scheduled for a public auction on March 19 at Santa Barbara's downtown courthouse. The Jackson source says, however, "Michael Jackson's ranch is not going to be auctioned off at the courthouse. The financing is all being worked out. There are plenty of lenders willing to work with him. [. . .]"

A real estate source in Santa Barbara County said Jackson also has other options besides getting a loan, one of which is selling the ranch directly to another party.

The Santa Barbara County Recorder's Web site shows a release of lien on Jackson on Feb. 4, meaning Jackson paid off all or part of his delinquent taxes to the state of California. As the real estate source points out, "It seems unlikely that someone would pay off back taxes, only to let the ranch go up for auction a few weeks later."