Courthouse step purchase but 2nd lien on title

[Debbie Sciarrino]

Purchased a house on courthouse steps, I knew it was the senior lien, and had a jr. against it. Junior LOC should have been wiped with foreclosure of senior lien, right? But title company is saying the JR lien through USAA does not show subordination, therefore it was SENIOR?. Anyone had this happen and what did you do? I didn't think new loans would be written without subordination agreements of "line of credits", so is the paperwork just lost (I hope)? How do I find out?

Feeling nervous,

Debbie

[Mark Enriquez]

Title examiner here. 
You're right, the subordination should have been filed at the time that the junior mortgage. Hopefully the subord is misindexed with the county. 

If it were me, I'd call USAA to see if a subordination was drawn up with the mortgage. 

Or, maybe look at the foreclosure case to see if there is any info on the complaint or other filings stating the position of liens?