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Subordination involves making one creditor's claim on a real estate asset junior to another's, a common occurrence in refinancing scenarios. The process begins with senior debt placed on a property at the time of acquisition, where claims are prioritized chronologically. If junior debt is later added, it remains subordinate to the already established senior debt. However, if the senior debt is refinanced and a new loan is introduced after the junior debt, the senior debt's position is reset, and the relationship between the debts must be reevaluated, as the new senior debt takes precedence over existing claims.