Escrow & Title
In Alaska, a 'subordination agreement' in real estate allows:
AA senior lienholder to move its lien to a lower priority✓ Correct
BA junior lienholder to take priority over a senior lienholder
CThe lender to increase the interest rate on an existing mortgage
DA buyer to assume the seller's mortgage
Explanation
A subordination agreement allows a lienholder (often a first mortgage holder) to voluntarily agree to a lower priority position, allowing a new lien (often a new first mortgage from a refinance) to take senior position. This is commonly used when refinancing to allow the new lender to have first position.
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