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A subordination agreement is a recorded document that allows the transfer of mortgage priority. Mortgages are ranked by time in public records, with the first mortgage holding the highest priority. In the example provided, if a homeowner wants to obtain a larger mortgage from a different lender, the current lender would need to agree to surrender its priority position through a subordination agreement. This one-page document, once executed and recorded, legally gives priority to the new mortgage lender, moving the original lender to a secondary position.