Escrow & Title
A 'subordination agreement' in Georgia allows:
AA. A junior lien to be paid first
BB. A senior lien holder to agree to a lower priority so a new lien can take first position✓ Correct
CC. A tenant to subordinate their lease to the landlord's authority
DD. A partial release of a mortgage
Explanation
A subordination agreement allows an existing (senior) lien holder to voluntarily move to a lower priority position, enabling a new lender to take first lien position. This is common in construction lending and refinancing.
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