The singer's fantastic property will go under the hammer on March 19 in California's Santa Barbara's courthouse unless he can raise a staggering $24.5 million to pay off a loan.
As well as the sprawling ranch, the prospective buyer will secure everything inside the property - including all fixtures, appliances, furniture, rides, games and "all merry go round devices."
If no-one meets the auction asking price, Fortress Investments - who originally loaned "Thriller" star Michael $300 million to pay off his debts - are likely to take possession of the 2,800 acre property and sell it though a Santa Barbara real estate broker.
Michael hasn't lived at the Neverland ranch since June 2005, when he moved to the Middle East kingdom of Bahrain.
In 2006, authorities ordered the property to be boarded up after it was revealed Michael had not paid his employees or kept up with insurance payments.
The eccentric pop star bought the property in 1987, intending to turn it into a "paradise for children."
After installing a parade of fairground rides and a zoo, which included elephants, snakes, giraffes and llamas, Michael opened up his fairytale home to children.
Michael was acquitted of sexual molestation in harrowing court drama in 2005.
