Complex sentence: In situations when a property is lost to foreclosure and there is little or no equity, the first lien holder has the option to request a settlement for less with the second lien holder to release the second mortgage from the title.
Split into simpler sentences: In situations when a property is lost to foreclosure and there is little or no equity. The first lien holder has the option to request a settlement for less with the second lien holder to release the second mortgage from the title.