Finance
A 'second mortgage' or 'junior lien' in NC is characterized by:
APriority over the first mortgage in foreclosure
BSubordinate priority to the first mortgage and higher interest rates✓ Correct
CBeing issued only by the same lender as the first mortgage
DBeing exempt from recording requirements
Explanation
A second mortgage has subordinate priority (junior lien position) to the first mortgage, meaning the first lender is paid first in foreclosure. Junior liens typically carry higher interest rates due to increased risk.
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