That's another excellent and common question. You may not be a good candidate for conventional financing, but there are a host of unconventional financing arrangements that can be used to create valid, protective liens. The point is that a knowledgeable asset protection planner will know how to equity-strip the home – or any other asset – notwithstanding a client's credit standing, income or ability to repay the loan.
The important point is that a mortgages against your home – or any other asset – must be fully supported by consideration. You must give something of equivalent value for the loan. You can't simply have someone file a mortgage or deed of trust against your home and expect it to work. Creditors can and do challenge sham or phony mortgages.