How do the junior mortgages fit into the puzzle?

The lender just holds the note and has rights to foreclose,sell the note off,etc.The lender and any junior lien holders would have to agree on any write down amounts on the loans.

your talking about a TAX sale correct.. not a judicial foreclosure of a senior or junior mortgage?

@Junior MendozaFirst Welcome to Bigger Pockets.  

Hi everyone,I am Ian Kurela and am a rising junior at John Carroll University in Cleveland, Ohio.

Your private lender would be recorded last, making it junior to the first.Say you have a house you are buying for $100K.

The prior report only had 2 junior liens that should have dropped off after foreclosure.

This woman calls me back and immediately is defensive telling me this person I had spoken with was in her office (and was "just" a junior loan officer) and this gentleman did have a loan (in his companies name) and they did an appraisal and it did not appraise so they denied him.

I read Rich Dad Poor Dad my junior year of high school, instantly knowing that someday I would want to follow Robert Kiyosaki's formula with building wealth.  

Figure out what are the junior and senior lean on the property.