Nas' Georgia home was sold after he failed to make the repayments on it.
The rapper - who is divorced from singer Kelis - bought the two-bedroom, three-bathroom property in 2004 for $585,000 but SunTrust Bank, which loaned him $400,000 to buy it, took possession of the house and sold it at a public auction last month for $348,500.
The home was sold after Nas was unable to make the mortgage repayments, according to E! News.
Nas has previously branded his divorce payout to Kelis ''crazy'' after he was initially ordered to pay his former wife $45,000-a-month in spousal and child support for their son three-year-old son Knight before having the sum reduced to $25,000-a-month because of money woes.
Nas - who also has 18-year-old daughter Destiny with former partner Carmen Bryan - said: ''Life is crazy. I wound up paying more money to baby mommas than what some of my rap brothers and sisters make.
''I've always been away from too much limelight and that right there put me in your -- no one's exempt from people probing into your life once you get into the game.
''So [the divorce] put a lot of my business out there, man. People weren't thinking I was making that kind of money, and now they knew.''