McMahon, 85, is best known as the host of the former talent competition show "Star Search," as well as for his tenure as sidekick to Johnny Carson on "The Tonight Show."

The Journal said McMahon, who broke his neck in a fall about 18 months ago and hasn't been able to work, faces the possible loss of his six-bedroom home to a foreclosure action initiated by a unit of Countrywide Financial Corp.

McMahon's representative Howard Bragman told the newspaper McMahon's health issues, coupled with the weak housing market and economy, has forced the former U.S. Marine and TV star into foreclosure proceedings.

"(McMahon and his wife Pamela) understand that they are in the same situation as hundreds of thousands of other hard-working Americans, and their hearts go out to them," Bragman said, adding that McMahon is in the midst of "very fruitful discussions" with the lender and hopes to reach a resolution soon.

McMahon's home has been on the market for about two years. The asking price is now $5.75 million, the Christie's Great Estates Web site said.