The winner of the record-breaking $2 billion Powerball jackpot was quick to enjoy his newfound wealth, and he’s been focusing on California real estate.
Edwin Castro bought his winning ticket last November at a Mobil gas station in Altadena, about 30 minutes outside of Los Angeles. In February of this year, he stepped forward to claim his bonus, choosing to receive nearly $1 billion in cash, which amounted to about $628 million after taxes. Another option is to receive the full bonus via an annuity over 29 years, which many financial advisors believe is a better strategy.
In March, Castro purchased a $25.5 million hillside home in the Hollywood Hills, not far from celebrities like Jimmy Kimmel and Ariana Grande. Far. The five-bedroom, six-bathroom house is one of the area’s most expensive sales ever and comes with a gym, games room, wine cellar and cinema.
Castro also spent $4 million on a Japanese-style house in his hometown of Altadena, near the gas station where his fortunes changed. It has five bedrooms, five bathrooms and a saltwater pool, according to the listing.
Earlier this month, he reportedly paid more than $47 million for a seven-bedroom, 11-bathroom home with panoramic views of Los Angeles and a large infinity pool. USA Todaynoted that he now owns a vintage Porsche 911.
California law requires the names of lottery winners to be released. Many jackpot winners prefer to keep their good fortune a secret, with safety being one of their concerns. Castro declined to attend a news conference held by lottery officials, but he did issue a statement saying he was “shocked and delighted” by the win.
California Lottery Director Alva Johnson said in February that Castro wanted to “remain largely private.”
The gas station owner who sold the winning ticket said Castro had been a regular customer and had visited him.
“He just came and told me, ‘Thank you. This changed my life,'” Joseph Chahayed told Los Angeles Times March. “I encouraged him to be generous.” (Chahayed, who immigrated from Syria in 1980, also won the lottery, and his gas station received a $1 million bonus for selling the winning ticket.)
While Castro quickly began to enjoy his new wealth, financial advisors recommend taking some time to calm down before making any large purchases.
“Don’t go out and buy a Ferrari, don’t buy a mansion,” Emily Irwin, managing director of advisory and planning at Wells Fargo Wealth & Investment Management, told us. wealth in July. “Maybe you have student loans you want to pay off, and that makes sense. But try to avoid large purchases.”
Before claiming a bonus, she recommends assembling a team of professionals who can help manage the money effectively, such as an attorney, financial advisor and perhaps a philanthropic advisor.
