Second Mortgage Foreclosures question.

[James W.]

hi - i am reading two contradictory thing when second place lender forecloses.

one is that second place has to pay the first mortgager first. this is the whole talk about senior liens, and basis of why second place will not foreclose if property is under water.

on the other hand, some say second can sell at auction "subject to" first mortgage. well in this case, second has clearly recovered their debt before paying the senior lien. this is contradictory to above.

this forms the basis of stories like first lender came foreclosing again after someone purchased the second foreclosure.

i see that in either case first lender gets paid. but in the latter case - first lender is now at  worse risk - because the original owner is now probably evicted - and is in a worse shape to pay up.

anyway, which one is true?