Property Ownership

A Virginia property's deed of trust is subordinated to a new deed of trust with the existing lender's consent. The process is called a:

ANovation
BSubordination agreement✓ Correct
CAcceleration
DDefeasance

Explanation

A subordination agreement changes the priority of liens, allowing a later deed of trust to take priority over an earlier one. Lenders use these in refinancing scenarios when a second lien needs to move to first position.

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