HELP! Subordinate Financing:
Subordinate 
Financing: 
Lien priority in real estate loans is determined by the date of recording.  The first loan to be recorded is the first loan to be paid off in most cases, although sometimes the parties to a loan may desire that a later recorded loan be paid off before an earlier recorded loan.  If this is the case, the first recorded loan must have a subordination clause or the earlier lender can sign a subordination agreement.  A second loan using the same property for collateral or security to pay back the loan is called "subordinate financing".

If you are applying for a first and second mortgage on your property, or refinancing your first mortgage and applying for an original second mortgage at the same time, enter the amount of the second loan in the field provided.
 

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