The current owners took a loan from the billionaire Tesla CEO to buy the house but have fallen behind on repaying it

Elon Musk’s former Los Angeles home—a piece of Hollywood history once owned by the late actor Gene Wilder—has just gotten $3.5 million cheaper as the property heads to foreclosure auction.

Built in 1951 by prolific Los Angeles architect Robert Byrd, the white-shingle house is now asking $9.5 million, down from the $12.95 million it hit the market for in August.

The price chop comes as the sellers, who took a loan from Musk in order to buy the house from the Tesla CEO, have since fallen behind on payments. The home is slated to hit the auction block next month if it fails to find a buyer before then, newly filed documents in property records show.

The home’s journey to foreclosure was winding.

Wilder, who most famously starred in 1971’s “Willy Wonka & the Chocolate Factory,” bought the Bel-Air home for around $300,000 in 1976. He sold it some three decades later, in 2007, for a little over $2.7 million, records with PropertyShark show. The actor died in 2016 at the age of 83.

The house spans more than 2,700 square feet.

Marc Angeles Photography

In 2013, Musk acquired the 2,756-square-foot property for $6.75 million, but in 2020 he announced on Twitter, now X, that he would sell “almost all physical possessions” and “own no house.” The statement included a stipulation that this Bel-Air house should not be torn down or lose any of its soul.

Musk made good on his promise and went on to sell the house later that same year to Wilder’s nephew, filmmaker Jordan Walker-Pearlman and his wife, Elizabeth Hunter, for $7 million, according to records.

Using an LLC, Musk lent the couple $6.7 million for the purchase, property records show, but Walker-Pearlman fell behind on repaying the loan. A notice of default was filed in July, and a notice of trustee’s sale was filed earlier this month stating that the home will be sold to the highest bidder at a public auction on Dec. 3, according to property records.

Walker-Pearlman and Hunter have said they’re cooperating with Musk and are “at peace” with the tech titan’s move to foreclose, Walker-Pearlman told The Wall Street Journal, in August.

Neither Walker-Pearlman, Hunter or Musk could be immediately reached for comment.

There is plenty of outdoor entertaining space.

Marc Angeles Photography

Much like Musk’s tweet back in 2020, the current listing states that the property cannot be torn down.

The “owner and previous owner attached a restrictive covenant to preserve the historic nature of the property,” listing agent Drew Meyers of Westside Estate Agency told Mansion Global.

“A Robert Byrd house of this significance should never be torn down. It should be restored and brought back to life while maintaining its beautiful soul,” Meyers said. “We want to make sure it’s sold to someone who appreciates its timelessness.”

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The four-bedroom house has original wood-beamed ceilings, cozy fireplaces and an open layout, according to the listing. The heart of the property is its circular bar area, and there’s also a gourmet kitchen, four bedrooms and far-reaching views.

Outside, there are multiple seating areas, manicured gardens and a kidney-shaped pool.