Escrow & Title
In Colorado, a 'subordination agreement' in real estate lending means:
AA lender agrees to take a lower priority position relative to a new or different lien✓ Correct
BA borrower agrees to subordinate their rights to the lender
CA title company agrees to waive its right to insurance premiums
DA buyer agrees to accept a property with existing liens
Explanation
A subordination agreement is a contract in which a lender agrees to allow another lender to have a higher priority position (superior lien). This is common when refinancing where an existing second lender agrees to remain in second position behind the new first mortgage.
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