Most Americans consider their home to be their most valuable – and vulnerable asset. Certainly, it's the one asset of greatest concern when they are sued because they are most emotionally attached to their home. The home is also vulnerable to lawsuits because it's usually titled personally to their owners since personal ownership may be necessary for conventional home financing and to claim the federal capital gains tax benefits, homestead protection, and real estate tax abatements available to seniors. Finally, the home is vulnerable because it can be readily attached simply by filing a judgment with the county recorder. This effectively transfers the home's equity to the creditor.
