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if youve ever heard the term subordination in real estate and youre not sure what it is or how it works keep watching this is trevor and in this video im here to teach you about subordination how it works what its used for why its necessary and who uses it ill also give you an example so if you have any questions just leave me a note in the comments below and dont forget to subscribe this information is critical for any real estate or mortgage professional to understand as well as anyone looking to refinance their property especially when they have two mortgage loans such as a 30-year home loan and a home equity line of credit after this video youll understand how subordination agreements work how theyre executed who are the parties involved and what you need to know when dealing with one in order to understand how subordination works first we need to understand the concept of lien position when somebody takes out a mortgage loan the lender records a lien on the property this