In an unpublished Michigan Court of Appeals decision deciding an issue of first impression, the court held in JPMorgan Chase Bank NA v Bayle that, when there are two competing purchase money mortgages, the race-notice statute is not implicated because neither mortgage is “subsequent” to the other mortgage. Purchase money mortgages attach at the same time that the purchaser acquires title to the property. As between two purchase money mortgages, the first recorded has priority.
It is interesting that, although an issue of first impression, the Michigan Court of Appeals did not automatically authorize this decision for publication, meaning it has no stare decisis effect. One would think that a decision of an issue of first impression would be noteworthy enough to publish.