Asset Protection

Equity Stripping

Reducing visible equity by encumbering property with friendly liens or debt.

Reviewed 9 August 2026 by Keiron Brown, Founder & Editor, CalculateRealEstateROI · Educational estimates only — not investment, financial, tax, or legal advice

Plain-English explanation

Less equity to see = less attractive target for litigation.

Examples

Cross-collateralized portfolio loan keeping each property near 75% LTV.

Common mistakes

Sham liens that won't survive court scrutiny.

Equity Stripping

Plain-English explanation

Examples

Common mistakes

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