Olympics hero Ryan Lochte has reportedly managed to avoid the prospect of the house he once shared with his ex-wife going into foreclosure.

The news comes around 15 months after his ex-wife Kayla Rae Reid filed for divorce in March 2025.

According to TMZ, the former couple have finally agreed a settlement with the local homeowners' association that will give them some breathing space.

The Fletcher Park Owners' Association sued Lochte and Reid in November 2025, alleging they had not paid fees and assessments relating to maintenance on their four bedroom, three bathroom home in Gainesville Florida.

According to the lawsuit seen by TMZ, Lochte and Reid owed the homeowners' association $3,686 but it has now been resolved. 

The 2,800 square-foot home is now reportedly worth $660,000, which is a significant rise since they purchased it for $547,000 back in 2021.

It comes just days after the former swimmer, 41, announced that he is engaged to new girlfriend Molly Gillihan, a 37-year-old kindergarten teacher, after 14 months of dating.

The six-time Olympic gold medal winner is said to have gotten down on one knee last week at a restaurant called Prime and Pearl in Gainesville. 

It was a romantic nod to the couple's love story with the love birds spending their first date at the restaurant. 

The happy couple are said to have walked along a path of red rose petals before taking a seat in the same booth where they began their romance. 

At the table, a card was reportedly waiting, containing the all-important question. After reading the message, Gillihan turned around to find her beau down on one knee and gave a resounding, 'yes.'

Lochte and Gillihan went Instagram official with their romance over July 4 weekend last year but had begun dating a couple of months before. 

'I'm on cloud 9 she said yes. I'm happy this is my new beginning, and I couldn't do it without her,' the former athlete told TMZ when asked about the engagement.

Lochte was married to the former Playboy Playmate Reid, with whom he shares three children - Caiden, eight, Liv, six, and Georgia, two - for seven years.

The couple's split was officially announced in June 2025, three months after the initial filing. However, proceedings have since descended into a series of sour legal and public jabs.

At the time, Reid wrote in a lengthy Instagram post that she made the 'hard decision to end my marriage after deep prayer and reflection' following a season she described as 'painful' and 'challenging.'

While she hinted at 'betrayal' in that initial announcement, Lochte was spotted cozying up to Gillihan shortly after, though he has adamantly denied any overlap between the two relationships.

Further tension broke out between the feuding former couple following Lochte's new job announcement. 

Lochte, who remains one of the most decorated Olympic athletes in history, announced last month that he is moving into the world of collegiate sports to become assistant swim coach at Missouri State.

The job will see him move - at least some of the time - from his home in Gainesville, Florida, to the university campus a 15-hour drive away.

The decision reportedly left Reid furious with the former model believing that the move will be 'challenging' for their three young children, who are staying back with her in Florida - despite Lochte offering his estranged wife the house, everything in it, and $25,000 if she would let the kids go with him to Missouri.

Earlier this year, the swimmer confirmed he had moved into a new home with Gillihan and her three children.