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Subordination occurs when one creditor's claim on a real estate asset is made junior to another creditor's claim, commonly seen during refinancing. The timeline starts at the acquisition date with senior debt placed on the property. Claims to real estate are prioritized by the order in which they were recorded. When junior debt is added later, it is subordinate to the existing senior debt. If the senior debt is refinanced, resulting in a new loan that is recorded after the junior debt, the junior debt's position may be affected as the senior loan takes precedence over the first loan and potentially changes the order of claims on the property.