This is one of the issues that I dealt with while doing title review and curative on my last project. Many lenders have already tightened their requirements and/or raised their fees, while others are simply outright refusing to grant subordinations altogether. Maybe I’m missing something here, but wouldn’t it be in the lender’s interest to NOT stand in the way of the borrower getting a check he can use to repay the loan?
Regards,
Scott Perry
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