why might an individual liquidate assets 
liquidating personal assets involves selling off items such as property stocks and bonds collectibles and personal belongings to pay off debts or generate cash it is a way of raising money quickly to meet financial obligations an individual might need to liquidate their assets if they are facing financial difficulties such as mounting debts job loss or unexpected large bills like emergency medical expenses liquidation may also be necessary in the event of a divorce settlement or the need to fund a large purchase such as a home s down payment or for a business individuals may also be forced to liquidate securities held in a brokerage account if a margin call cannot be satisfied 