From the Star Ledger:
The former Morgan Stanley bond trader believed to have lost more money than any single trader in the history of Wall Street has put his Rumson estate on the market for $4.5 million, according to its Zillow.com listing.
Howie Hubler’s disastrous bets against risky subprime loans cost Morgan Stanley $9 billion and was chronicled by Michael Lewis in his book about the 2008 financial meltdown “The Big Short.”
The 6-bedroom estate, built in 1928, includes a pool, spa, cabana and tennis court on four acres. The home has an “awe-inspiring kitchen” with high-end appliances, a walk-out lower level with a 10-foot coffered ceiling, full kitchen, wine room, gym and second laundry room, according to the listing.
He paid $4.65 million for the home in 2006, near the peak of the housing bubble. That’s $150,000 more than the current listing price.
It’s the eighth most expensive listing in Rumson, according to Zillow. Taxes are $65,754 a year, records show.
Hubler, according to Time, “was a thriving derivatives trader up until his excruciating blunder. From 2004 to 2006, he placed big bets against the U.S. real estate bubble using credit default swaps — complex financial instruments that pool and repackage risky sub-prime mortgages to sell on to investors.
But the economy’s decline happened slower than he expected, and Hubler had to cover his costs by delving even deeper into the CDO business. When the real estate market collapsed in 2008, he was wiped out — nearly taking Morgan Stanley itself with him.” The Observer called him a “subprime villain” and “an unwitting icon of the financial crisis.”