Escrow & Title

In Tennessee, a 'subordination agreement' is used to:

ATerminate an existing lien
BAllow a junior lien to remain junior when a new senior mortgage replaces the existing one✓ Correct
CTransfer the mortgage to a new borrower
DConvert a fixed-rate mortgage to an ARM

Explanation

A subordination agreement allows a lienor to agree that their lien will remain in a junior position, even if a refinance would otherwise cause their lien to advance in priority.

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