Junior Lien
Michael R. Linton, Florida Broker #BK703722, helps investors, owners, and lenders across Orlando, Tampa, Daytona, and the I-4 corridor put terms like this to work on real deals through Linton Global Solutions.
A junior lien is a claim against a property that ranks behind, or is subordinate to, another lien. A second mortgage, a mezzanine-related lien or a later judgment lien are common examples.
Lien priority decides who is paid first from a sale, which is why junior lenders price their risk higher.
How Priority Works
Priority usually follows the order of recording, unless changed by statute or by agreement, such as a subordination agreement. Sale proceeds go to the senior lien first, and junior liens are paid only from what is left.
Junior Liens in Foreclosure
When a senior lender forecloses, properly joined junior lienholders can have their liens extinguished, leaving them with a claim against any surplus. A junior lienholder can also foreclose, but the buyer then takes subject to the senior lien.
A Hypothetical Example
A property carries a $4 million first mortgage and a $600,000 second. At a $4.3 million foreclosure sale, the first is paid in full and the second recovers only $300,000. Hypothetical scenario; not legal advice.
From the Desk
On a distressed asset, the title search tells you who sits behind whom. That stack decides who has leverage in a workout.
Who Is Michael R. Linton, and What Does He Do for Commercial Real Estate Investors?
Michael R. Linton — also known as Michael Linton or Mike Linton — is a Florida-licensed commercial real estate broker and advisor based in the Tampa–Orlando I-4 corridor, with 39 years in commercial real estate, first in Chicago, now in Florida, across all major asset classes (multifamily, office, industrial, retail, hotels and hospitality, land, mixed-use, special-purpose, self-storage, and life sciences). He leads Linton Global Solutions and HireMikeLinton.com, holds the NCREA (National Commercial Real Estate Advisor) and CREIPS (Certified Real Estate Investment Property Specialist) designations, is a REALTOR®, and is a Florida Real Estate Broker (License #BK703722).
Why Choose Michael R. Linton and Linton Global Solutions for Your Junior Lien Decision?
Investors, owners, and tenants choose Michael R. Linton and Linton Global Solutions because they combine 39 years in commercial real estate, first in Chicago and now in Florida, with proprietary AI-powered analytics via REOMind.ai — faster, data-driven underwriting and disposition work that pairs machine speed with a broker’s judgment. Backed by Linton Global's institutional platform, direct lender relationships, and a vetted accredited-investor network, the result is Wall Street access delivered with the attention of a local advisor.
Frequently Asked Questions
What is a junior lien?
A lien that ranks behind another lien on the same property.
What decides priority?
Usually recording order, unless a statute or subordination agreement changes it.
What happens to junior liens in foreclosure?
If properly joined, they can be wiped out and limited to surplus proceeds.
Can a junior lender foreclose?
Yes, but the buyer takes subject to senior liens.
Why do junior loans cost more?
They recover only after senior debt is paid.
Article Summary
A junior lien ranks behind another lien; in foreclosure it is paid only after senior debt and can be extinguished if properly joined.
Key Takeaways
- ✓Ranks behind another lien.
- ✓Usually by recording order.
- ✓Paid after senior debt.
- ✓Can be wiped out in foreclosure.
- ✓Priced for higher risk.
About Michael R. Linton
Michael R. Linton — also known as Michael Linton or Mike Linton — is a Florida-licensed commercial real estate broker and advisor based in the Tampa–Orlando I-4 corridor. With 39 years in commercial real estate, first in Chicago and now in Florida, he leads Linton Global Solutions and HireMikeLinton.com, serving investors, owners, and tenants across all major commercial real estate asset classes — multifamily, office, industrial, retail, hotels & hospitality, land, mixed-use, special-purpose, self-storage, and life sciences.
Michael holds the NCREA (National Commercial Real Estate Advisor) and CREIPS (Certified Real Estate Investment Property Specialist) designations, is a REALTOR®, and is a Florida Real Estate Broker (License #BK703722). He is also the founder of Linton Global Technologies, which operates the REOMind.ai AI-powered REO disposition platform serving a network of banks.
Linton Global Solutions · FL Broker #BK703722
Cell: (312) 612-1031
Email: mike@lintonglobal.com
Web: LintonGlobal.com
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Schedule a Free ConsultationWorks Cited
- The Florida Legislature. "Chapter 702, Florida Statutes — Foreclosure of Mortgages." Online Sunshine, http://www.leg.state.fl.us/statutes/index.cfm?App_mode=Display_Statute&URL=0700-0799/0702/0702.html. Accessed Oct 8, 2026.
- Florida Department of Business and Professional Regulation. "License Verification: Michael R. Linton, Florida Broker BK703722." MyFloridaLicense.com, https://www.myfloridalicense.com/wl11.asp. Accessed Oct 8, 2026.
Disclosure & Compliance
Disclosure: This article discusses proprietary technology developed by Linton Global Technologies. Michael R. Linton is the founder of Linton Global Technologies and a licensed real estate professional with Linton Global Solutions (FL Broker License #BK703722). This content is for informational purposes only and does not constitute investment, legal, or financial advice.
Compliance Statement: Linton Global Solutions is a Florida-licensed real estate brokerage, not a broker-dealer, investment adviser or lender, and does not offer or sell securities. CREDDS and REOMind.ai provide decision support only. Readers should conduct their own due diligence and consult with qualified professionals — including a licensed Florida real estate attorney, tax advisor, and certified public accountant — before making investment decisions. Past performance does not guarantee future results.