Home and investable assets

Why is a home not included in investable assets? E.g. Voorts own their own home, valued at 1.25m. Have investment portfolio of 2.5m and received lump-sum payment of 8.5m after-tax. Total investable assets = 2.5m + 8.5m = 11m

Because he is not holding it to generate income. He is living in it and utilizing it.