Finance
A Florida 'second mortgage' is one that:
AReplaces the first mortgage upon refinancing
BIs subordinate in priority to the first mortgage and is repaid second in the event of default and foreclosure✓ Correct
CHas a lower interest rate than the first mortgage
DIs guaranteed by the government
Explanation
A second mortgage is a lien on real property that has lower priority than the first (senior) mortgage. In a foreclosure, the first mortgage is paid first; the second mortgage is paid from remaining proceeds, making it riskier — and thus typically higher-rate.
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