I don’t understand ‘a lien that could take priority over the first mortgage lien’ — what does this mean?
This refers to any loans or HOA fees (usually) that take a priority over your first mortgage. Basically it has to do with how liens are recorded with your town/county. A first mortgage must be in ‘first’ position. Sometimes unpaid HOA fees have the right to take over first position if the HOA forecloses for unpaid HOA dues, it’s not common but something we have to verify.
Updated on: 13/07/2022