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In this video, the instructor discusses what a subordination agreement is and when it is required. A subordination agreement is a legal document that prioritizes one mortgage lien over another. It is needed when a borrower wants to refinance their home with an existing home equity line of credit. The agreement places the new mortgage in a first lien position and the home equity line of credit in a second lien position. Remember to download the course catalog at campusmortgage.org.