Closing FAQS

Closings can be delayed—or even fail entirely—due to a number of last-minute pitfalls, many of which can be avoided with early preparation and clear communication among all parties. Some of the most common causes of delay stem from missing documentation, incomplete lender requirements, or unexpected changes close to the closing date.

One of the primary issues is when the seller fails to provide timely payoff information for existing mortgages or loans. Without accurate and up-to-date contact information for the lienholder, the closing attorney cannot confirm the amount owed or ensure a clean transfer of title. Likewise, buyers who do not have their funds ready for disbursement—especially those who try to initiate a wire transfer at the closing table—can cause delays, as wire transfers may take 24–48 hours to clear into escrow.

Delays also frequently occur when the buyer or seller is a legal entity, such as an LLC or corporation, and has not submitted essential documents like the Operating Agreement, By-Laws, or corporate resolutions. These are required to verify the entity’s compliance and determine who has authority to sign on its behalf. Additionally, sellers who haven’t completed required repairs, failed to provide a termite bond, or neglected to order a home warranty when the contract requires it can also derail a closing.

Other common issues include last-minute changes—such as the unexpected use of a Power of Attorney, requests for remote or mail-out signings, or disputes between parties over contractual obligations. If these matters are not addressed in advance, they can significantly slow down the process.

Missing or delayed homeowners’ association (HOA) contact information is another culprit, especially when a Community Association Disclosure is incomplete or omitted from the contract. On the buyer’s side, delays can result from not providing the lender with all required documentation, or when the lender’s funds are not received on time. Additionally, the closing may be postponed simply because the date or time was never properly confirmed with all parties, or if important contract addenda or exhibits have not been delivered to the lender or closing attorney.

To avoid these pitfalls, it's essential that all parties are proactive, responsive, and organized well in advance of the scheduled closing. Early coordination with your closing team, lender, and agents can make all the difference in ensuring a smooth and successful transaction.

Under a Georgia Association of Realtors (GAR) contract, the responsibility for obtaining a termite inspection and letter—commonly referred to as a termite clearance letter—typically falls to the buyer. While parties not using a GAR contract may negotiate different terms, the standard GAR forms generally place the burden of conducting inspections, including for wood-destroying organisms (WDOs), on the buyer as part of their due diligence obligations.

Buyer’s Due Diligence

The buyer is expected to perform due diligence to evaluate the condition of the property, and this includes hiring a licensed pest control professional to conduct a termite inspection. The buyer usually bears the cost of the inspection and termite letter, particularly if it is needed for loan approval. Many mortgage lenders require a termite letter issued within 30 days of closing to ensure the property is free from active infestation or damage.

Seller’s Disclosure Obligations

Although the buyer arranges and pays for the termite inspection under the GAR contract, the seller has a legal obligation to disclose any known termite issues, past or present. This includes any history of infestation, treatment, or structural damage resulting from termites. Full disclosure allows the buyer to make an informed decision and may also affect negotiations.

Repair Responsibilities and Negotiations

If the termite inspection reveals active infestation or damage, the GAR contract provides space for the buyer and seller to negotiate who will be responsible for treatment and/or repairs. In some cases, the seller may agree to pay for treatment or repair termite damage as part of the purchase terms, but this is not automatically required unless specified in the agreement.

Termite Bonds

A termite bond is a service agreement offered by pest control companies that covers treatment and, in some cases, future inspections or repairs. While not required under the GAR contract, some buyers may request the seller to transfer an existing bond or purchase a new one as part of the sale.

Flexibility Within the GAR Framework

The GAR contract allows for flexibility through negotiation. Although the default position places responsibility on the buyer, both parties can agree to alter this through an amendment or special stipulation. For example, the seller may agree to provide a termite letter at their expense or perform treatment as a condition of closing.

In summary, while the buyer typically arranges and pays for the termite letter under a GAR contract, the seller must disclose known issues, and responsibility for remediation or providing bonds can be negotiated as part of the broader transaction terms.

Our firm scans and securely archives every part of your closing file, including your Warranty Deed and other important documents, and we maintain these records indefinitely. If you ever misplace any of your closing documents, you can contact our office at any time, and we’ll be happy to provide you with a copy—whether by email, mail, or fax, based on your preference.

Additionally, your Warranty Deed is recorded with the county courthouse, and a copy can usually be accessed and printed directly from the county’s official website. This dual access ensures that your legal documents are always retrievable, giving you peace of mind well after your closing is complete.

Whether or not to add someone to the title of a property when they are not on the loan is a decision that should be approached with caution and a clear understanding of both legal and financial implications. This situation often arises when one party is purchasing a home and wishes to include a spouse, family member, or legal entity on the title without involving them in the mortgage loan. There are two common scenarios where this arises, each with distinct considerations and risks.

Situation 1: Adding a Spouse Who Is Not on the Loan

If a spouse will be listed on the property title but not on the loan, and a lender is involved, it’s essential to first confirm whether the lender allows this arrangement. Many lenders will permit this, but typically require the non-borrowing spouse to sign certain documents at closing—most notably the Security Deed (which secures the mortgage) and other loan disclosures. In this case, both names should ideally be listed on the purchase contract, and the non-borrowing spouse must be present at closing to execute the required documents. This ensures the lender’s interest is protected and helps avoid complications during the closing process.

Situation 2: Transferring Title After Closing (e.g., to an LLC or Trust)

Some purchasers prefer to transfer the property to a legal entity, such as an LLC or a trust, after closing. However, if a mortgage is in place, this can violate the due-on-sale clause commonly found in the Security Deed. That clause allows the lender to call the loan due in full if the title is transferred without their consent. While many buyers knowingly accept this risk and proceed with the transfer, it’s important to understand the potential consequences. Most closing attorneys will not prepare a post-closing deed under these circumstances. If a deed is created after closing, the person being added to the title does not need to be present for the signing of that deed, unless otherwise required.

Risks of Adding Someone to Title

• Violation of Loan Terms: Transferring or altering title without lender approval could trigger the due-on-sale clause, potentially forcing the full repayment of the loan.
• Lien Attachment: Any existing liens against the person being added to the title (such as tax liens, judgments, or child support liens) could become attached to the property, creating financial and legal complications for the owner.
• Signature Requirements: Once someone is on title, they must sign any future deeds to sell or refinance the property. This can complicate future transactions, especially if that person becomes unavailable or uncooperative.
• Impact on Title Insurance: Making changes to the ownership of the property after closing could affect the validity or scope of your owner’s title insurance coverage. Some policies may be voided or restricted if the insured interest changes without notifying the title insurer.

Adding someone to the title of your property is a significant decision that can impact ownership rights, lender relationships, and title insurance protection. Before proceeding, it's strongly recommended to consult your lender and speak with your closing attorney or a real estate attorney to fully understand the consequences and ensure compliance with all applicable agreements and laws.

Yes, you are responsible for paying the county property taxes for the full year, even if you only owned the property for part of that year. This often leads to questions from new homeowners at the end of the year when they receive a tax bill for the entire amount. Here’s how it works:

At closing, property taxes are typically prorated between the buyer and seller based on the prior year’s tax amount, since the actual bill for the current year is often not yet available. The seller provides a credit to the buyer at closing for their share of the taxes accrued up to the closing date. For example, if last year’s property tax bill was $2,000 and the closing took place on June 1—halfway through the year—the seller would credit the buyer $1,000 on the settlement statement. This means the seller has paid their share in advance, and the buyer becomes responsible for paying the full tax bill when it is due.

If the actual property taxes for the year increase from the prior year, the buyer may be entitled to request additional reimbursement from the seller. Using the same example, if the current year’s taxes are $3,000 instead of $2,000, the seller’s correct share would have been $1,500. Since they only credited $1,000 at closing, the buyer could request the additional $500. This right is referenced on page three of the settlement statement, though many buyers choose not to pursue minor differences, as tax fluctuations are usually small.

In situations where the closing occurs later in the year and the seller has already paid the taxes, the buyer would reimburse the seller for their prorated share at closing. Property taxes in most Middle Georgia counties are due by December 20, so this often becomes relevant in fall and winter closings.

For new construction properties, estimating taxes can be more complicated. Often, the prior year’s taxes only reflect the value of the vacant lot, not the completed home. In such cases, the closing attorney will typically estimate the tax amount based on the property’s sales price, ensuring that the proration is as accurate as possible.

Understanding this process can help buyers avoid confusion when they receive their first tax bill and ensure that the proper adjustments were made at closing. If you have questions about your proration or tax obligations, you should reach out to your closing attorney or contact the local tax commissioner’s office.

In Georgia real estate transactions, the payment of closing costs is entirely negotiable between the buyer and seller. However, if the contract is silent on the matter, the default responsibility generally falls on the purchaser. Most standard contracts, including those issued by the Georgia Association of REALTORS® (GAR), outline who is responsible for specific closing expenses. Regardless of the contract used, it is essential that both parties understand and agree to the division of these costs in advance to avoid surprises at the closing table.

General Responsibilities

Under most GAR contracts, buyers and sellers each have their own set of typical closing costs. Buyers usually handle expenses associated with securing a mortgage, while sellers cover costs related to transferring ownership of the property. Importantly, almost all contracts specify that the seller pays the Georgia state transfer tax, which is calculated at $1.00 per $1,000 of the sales price.

Buyer’s Typical Closing Costs

Buyers often pay for:

• Mortgage-related fees, such as loan origination, underwriting, and appraisal costs.
• Title insurance (Lender’s and Owner’s Policy) and a portion of the Closing agent settlement fees.
• Legal fees, if they hire their own attorney for independent review.
• Home inspection costs, which are typically paid upfront during the due diligence period.
• Escrow deposits for future taxes and insurance, often required by lenders.
• Recording and miscellaneous administrative fees related to loan and deed filing.

Seller’s Typical Closing Costs

Sellers are commonly responsible for:

• Real estate commissions, typically paid to both the listing and buyer’s agents.
• Settlement agent costs of curative title work
• Attorney fees, if they choose to retain legal representation for the transaction.
• Recording fees associated with releasing liens or mortgages.
• Transfer tax, as stipulated in most contracts.

Negotiating Closing Costs

Buyers and sellers can negotiate closing cost responsibilities, and it’s not unusual for sellers to offer to pay part or all of the buyer’s closing costs as a selling incentive—particularly in a buyer’s market. When agreeing to contribute, sellers should always set a clear dollar cap on how much they are willing to pay, as buyer closing costs can range from 2–5% of the purchase price. Normal closing costs for an average loan are about 3% of the loan amount.

In some cases, buyers may also be able to roll certain closing costs into their mortgage loan, reducing the cash needed upfront. This must be approved by the lender and structured appropriately within loan limits.

Final Note

It is crucial for both parties to carefully review the contract, as it will clearly define who pays for what, including any agreed-upon contributions or cost-sharing. Clarity in the contract helps prevent last-minute disputes and ensures a smoother closing experience for everyone involved. Consulting a closing attorney or real estate professional is strongly recommended to review these terms before signing.

The Supreme Court of Georgia has indeed issued a formal opinion declaring that it is unethical and unauthorized practice of law for a non-attorney to conduct real estate closings in the state. This ruling applies broadly to all types of real estate transactions, including both purchase transactions and refinances.

According to the Court, only a licensed Georgia attorney may oversee the execution of deeds, security instruments, and other closing documents. This includes not just preparing the legal documents, but also being physically present to supervise or conduct the actual closing ceremony, where the loan and property documents are signed.

The purpose of this ruling is to ensure that consumers are protected from unauthorized legal advice and to uphold the integrity of Georgia’s real estate legal process. Because real estate transactions carry significant financial and legal consequences, the state has taken the position that an attorney’s direct involvement is essential to safeguard the interests of all parties involved.

In summary, in Georgia, a real estate closing must be conducted by a licensed attorney, and the participation of a non-lawyer in this role is both unethical and unlawful under state law.

Yes, you can still purchase an owner’s title insurance policy after closing, even if you initially declined it at the time of settlement. This type of policy offers the same valuable protections as one purchased during the closing process—safeguarding you against title-related issues such as undisclosed liens, boundary disputes, fraud, or ownership claims that may arise from events prior to your purchase.

If you decide to purchase the policy within 30 days of your original closing, you may still qualify for the simultaneous issue rate, which provides a discount of approximately 40% off the standard premium. This discounted rate applies because the title search and examination were already performed at the time of closing, reducing the title company’s risk and workload.

However, if you wait beyond the 30-day window, you can still purchase an owner’s policy, but it will be at full price. More importantly, the policy will only provide coverage for title defects that existed as of the date you first purchased the property. It will not cover any issues that may have arisen since that date, making it less comprehensive than a policy purchased contemporaneously with closing.

For maximum benefit and to ensure the strongest protection for your ownership rights, it is always advisable to purchase owner’s title insurance either at closing or as soon as possible thereafter. If you’re still within the 30-day period, contact your title company or closing attorney promptly to request the discounted rate.

To increase your owner’s title insurance coverage after building a house—particularly when the property value has significantly appreciated—you have several options. Title insurance policies are based on the value of the property at the time of closing, so if you've made substantial improvements such as constructing a home on vacant land, it’s wise to ensure your coverage reflects the current market value of the property.

1. Enhanced Owner’s Title Insurance

An enhanced policy is one of the most straightforward ways to address property appreciation. These policies often automatically increase the coverage amount over time, typically by a fixed percentage each year, to keep up with inflation and property value growth. In many cases, coverage can grow to 150% of the original insured amount. This is especially beneficial if you plan to hold the property long-term and expect continued increases in value.

2. Addendum or Escalation Clause

If you have a standard owner’s title policy, you can contact your title insurance company to discuss adding an escalation clause or amending the policy through an addendum. This allows you to increase your insured amount to better reflect the current value of the property, including improvements like new construction. This option is useful if your current policy doesn't have built-in inflation protection.

3. Purchase Additional Coverage

Another option is to purchase additional title insurance coverage. This can be done by either:

• Obtaining a new policy based on the updated value of the property, or
• Adding a rider or endorsement to your existing policy to increase the insured amount.

This approach may involve an updated title search and new premium calculations based on the increased value, but it can give you peace of mind that your investment is fully protected.

While owner’s title insurance is a one-time purchase, it protects your ownership rights for as long as you or your heirs own the property. If the property value has risen significantly due to improvements or market conditions, it’s worth revisiting your coverage. Reach out to your title insurance provider or closing attorney to explore the best path forward and ensure your investment remains adequately protected.

GAR (Georgia Association of REALTORS®) contracts often include arbitration as the primary method for resolving disputes, providing an efficient alternative to traditional litigation. Arbitration is a form of alternative dispute resolution (ADR) in which both parties agree to submit their disagreement to a neutral third-party arbitrator, whose decision is typically final and legally binding.

Arbitration as a Primary Mechanism

In GAR contracts, arbitration is designed to offer a more streamlined and cost-effective resolution process compared to going to court. It is especially useful for disputes involving earnest money, breach of contract, or other issues arising from the real estate transaction. Once parties agree to arbitration through the contract, they generally waive their right to litigate the matter in court.

Mediation as a Preliminary Step

Although arbitration is often the default method outlined, many GAR contracts include provisions for mediation as a first step. Mediation involves a neutral facilitator who works with the parties to help them reach a mutually agreeable solution. Unlike arbitration, mediation is non-binding, meaning the parties are not obligated to accept the outcome. It serves as an opportunity to resolve disputes amicably before moving into the more formal arbitration process.

Multi-Tiered Dispute Resolution

Some GAR contracts establish a multi-tiered approach to conflict resolution. This means that mediation is required first, and if no resolution is reached, then the matter proceeds to arbitration. This tiered structure promotes resolution at the earliest possible stage, saving time, legal fees, and maintaining working relationships where possible.

Importance of Reviewing the Arbitration Clause

It is essential for both buyers and sellers to carefully review the arbitration clause in any GAR contract. This clause will outline critical details such as:

• Who will serve as the arbitrator
• How the arbitrator will be selected
• Which types of disputes are covered
• Whether arbitration is mandatory or optional
• Any limitations on claims or remedies 

Understanding the dispute resolution terms upfront helps parties know what to expect and reduces the likelihood of surprises if disagreements arise later.

When a buyer or seller terminates a Georgia GAR Purchase and Sale Agreement, whether a real estate agent is owed a commission depends on the stage of the transaction, the terms of the brokerage agreements, and why the contract was terminated.

For Sellers: Listing Agreement Terms Control

A seller typically enters into a listing agreement with a broker, which governs when the broker earns a commission. In Georgia, a listing broker is generally entitled to a commission if the broker produces a "ready, willing, and able" buyer who agrees to the seller’s terms.

So, if the seller unilaterally cancels the transaction after the buyer has met all conditions (e.g., has financing, agrees to price and terms, and signs the contract), the listing broker may still be owed a commission, even if the deal doesn’t close—unless the listing agreement specifically makes commission contingent on a successful closing.

However, if the contract is terminated within the buyer’s right to inspect or during a contingency period, and it’s a mutual or permissible termination, then no commission is typically owed unless the brokerage agreement says otherwise.

If the Seller is in default, the Seller will also owe the Buyer the cost of the Buyer’s agent’s commission. 

For Buyers: Buyer Brokerage Agreements Apply

Buyers in Georgia usually sign a buyer brokerage agreement, which may specify that a commission is owed if the buyer enters into a purchase agreement and later unjustifiably refuses to close. If the buyer backs out in bad faith, and the buyer’s broker has fulfilled their duties, the broker might be entitled to a fee or damages—but only if this is provided for in the agreement.
If the buyer terminates under a valid contract contingency—such as due diligence, financing, or appraisal—then no commission is owed, because the buyer was acting within their contractual rights.

If the Buyer is in default, the Buyer will also owe the Seller the cost of the Seller’s agent’s commission. 

Yes, under a Georgia Association of Realtors (GAR) Purchase and Sale Agreement, you may sue for specific performance if the seller refuses to sell the property without legal justification. Specific performance is a legal remedy where the court orders a party to fulfill their obligations under a contract—in this case, compelling the seller to complete the sale rather than simply awarding monetary damages. This remedy is particularly relevant in real estate transactions, where each property is considered unique and monetary compensation may not adequately substitute the loss of the specific property.

The GAR Purchase and Sale Agreement includes a provision in the default section stating that if either party breaches the contract, the non-breaching party is entitled to pursue all legal remedies, including specific performance. This means that if you, as the buyer, have met your obligations under the contract—such as securing financing, completing inspections, and being ready, willing, and able to close—and the seller refuses to proceed without a valid legal excuse, you have the right to take legal action and ask a court to compel the seller to go through with the sale.

However, there are important conditions and considerations. First, you must demonstrate that you were fully prepared to close on time and that no unresolved contingencies or contract terms remained on your part. Additionally, courts have discretion when granting specific performance, as it is an equitable remedy. This means the judge will evaluate the overall fairness of the situation, including any defenses the seller might raise, such as claims of fraud, mistake, or hardship.

It's also important to consider the practical implications. Litigation for specific performance can be time-consuming and costly, and even if you win, it may take months before the court orders the seller to comply. In some cases, your attorney may advise you to file a lis pendens, which is a public notice of pending litigation. This can help prevent the seller from transferring the property to someone else while your case is being heard.

In conclusion, while you can sue for specific performance under a GAR contract if the seller refuses to close, doing so requires a strong legal position and careful documentation. You should immediately consult with a Georgia real estate attorney who can evaluate your situation, draft a formal demand, and initiate legal proceedings if needed.

In Georgia, when a property is located within a homeowners’ association (HOA), it's essential for the closing agent to obtain a statement of outstanding assessments from the HOA before the transaction is completed. If the HOA fails to provide this statement in a timely manner—specifically within five business days of a written request—there can be significant legal consequences for both the buyer and the seller.

Buyer Liability

Unless the HOA’s governing covenants specifically say otherwise, both the seller and the buyer may be jointly and severally liable for any unpaid HOA dues that were not settled at closing. This means the buyer could become responsible for assessments that accrued prior to their ownership if those debts were not disclosed or addressed during the transaction. It places a heavy importance on obtaining accurate HOA information before closing.

Seller’s Responsibility

Even if the HOA fails to provide the requested payoff statement, the seller may still be held liable for outstanding assessments—especially if the seller knew about the unpaid dues and failed to disclose them. In such cases, the buyer may have grounds to take legal action against the seller for nondisclosure or breach of contract.

Risk of Foreclosure

If the lien remains unresolved—either because the buyer becomes responsible or the seller fails to pay—the HOA retains the right to initiate foreclosure proceedings. Under Georgia law, the lien must exceed $2,000, and the HOA must issue a 30-day notice of foreclosure to the homeowner. This underscores the importance of resolving all HOA-related debts before closing.

To avoid post-closing surprises or legal liability, it's essential for both buyers and sellers to ensure that any outstanding HOA dues are disclosed and resolved, and that closing agents request HOA statements as early as possible. Prompt and transparent communication between the parties and the HOA can help prevent financial and legal complications after the sale is complete.

Yes, you must close your home equity line of credit (HELOC) when you sell your property. A HELOC is a lien on the property, and the title must be clear of all liens at closing in order to legally transfer ownership to the buyer. If your HELOC remains open, it poses a risk to the buyer’s clear title and will prevent us from issuing title insurance and finalizing the sale.

Why It Must Be Closed:

A HELOC is secured by the property, just like a mortgage. When you sell, all liens—including HELOCs—must be paid off and released. We will request a payoff statement from the HELOC lender to confirm the amount owed and arrange for the account to be closed at closing.

Important Warning:

If you draw funds from your HELOC after closing, you may be committing fraud and violating the legal certifications you make at closing. At closing, you typically sign documents swearing that no new debts or encumbrances have been placed on the property and that no further withdrawals will be made.

By using the line after the sale:

• You are misrepresenting material facts to the closing attorney and the lender.
• You could be held personally liable for damages caused to both the buyer (who is now supposed to have clear title) and the closing attorney (who certified the title and facilitated disbursement of funds).

Yes, you must close your HELOC before or at closing when selling your property. Failing to do so, or worse, drawing on the line after the sale, can expose you to serious legal and financial liability. Always notify your lender and closing attorney about any open lines of credit on the property well in advance of closing.

Yes, you must disclose a prior divorce even if your former spouse was never listed on the title to the property. In Georgia, any property acquired during the marriage is considered a potential marital asset, regardless of whose name appears on the deed. This means that even if the home was purchased solely in your name, your former spouse may still have had a legal interest in the equity under Georgia’s equitable distribution laws.

During the closing process, The Cooper Law Firm must determine whether your former spouse was granted or waived any interest in the property as part of the divorce settlement agreement. This is essential to ensure clear title can be transferred to the new buyer. If the divorce decree awarded your former spouse a portion of the property’s equity—or even if there’s a pending claim—this must be accounted for at closing.

Failing to disclose your prior divorce could result in:

• Delays at closing if title or settlement issues arise last minute
• Legal liability if your ex-spouse later claims an interest in the property
• Possible violation of title insurance conditions, affecting the buyer’s coverage  

In short, always inform your closing attorney of any past divorce, especially if the property was acquired during the marriage. This ensures the proper documentation—such as the divorce decree or quitclaim deed—is reviewed, and that all parties with a potential interest are properly accounted for in the transaction.

Yes, you must disclose a prior bankruptcy when selling a house, even if you received a discharge. This is because a bankruptcy discharge eliminates your personal liability for certain debts, but it does not automatically remove liens that may still exist against your property. Those liens—such as second mortgages, judgment liens, or HOA liens—can continue to attach to the property itself and must be addressed before you can transfer clear title to a buyer.

Why Disclosure Is Required:

Residual Liens May Still Exist: Even if a second mortgage or other secured debt was discharged in bankruptcy, the lien associated with that debt remains unless it was formally avoided, stripped, or satisfied through court proceedings. This means the creditor may still have a claim against the property itself, even if they can’t sue you personally.

Title Issues Can Delay or Derail Closing:

If a lien is discovered during the title search, it must be resolved before closing can occur. If the bankruptcy was not disclosed upfront, this can lead to last-minute delays or even the collapse of the sale if the issue can’t be resolved in time.

Proper Handling by the Closing Attorney:

Your closing attorney needs to review your bankruptcy documents, including the discharge order and schedules to determine:

• Whether the property was included in the bankruptcy
• If any liens were avoided or remain in effect
• Whether additional court orders or payoff statements are required

Potential Equity Impact:

If a lien still exists on the property from the bankruptcy, it may need to be paid out of your equity at closing. Failing to disclose a bankruptcy can lead to miscalculations in the settlement statement and disputes over disbursement of funds.

What You Should Do:

• Inform your closing attorney early in the process that you have previously filed for bankruptcy.
• Provide copies of the discharge papers, schedules, and any orders relating to lien avoidance or property exemptions.
• Be transparent about any debts or creditors that may have held liens on the property during your bankruptcy.

Disclosing a prior bankruptcy is critical because it can impact your ability to convey clear and marketable title. Even with a discharge, liens may survive and must be addressed to protect both you and the buyer. Open communication with your closing attorney ensures a smooth transaction and helps avoid unexpected legal or financial complications.

No, you cannot use a power of attorney (POA) after someone has died. A power of attorney is a legal document that grants authority to one person (called the "agent" or "attorney-in-fact") to act on behalf of another (the "principal")—but that authority ends immediately upon the principal’s death. Once the principal has passed away, any powers granted under the POA become null and void, and the agent no longer has legal authority to act in any capacity.

Example:

Suppose Jane signs a power of attorney naming her daughter, Susan, as her agent to manage her finances. Susan has been paying bills, managing Jane’s bank account, and helping with medical paperwork. If Jane passes away, Susan can no longer use the power of attorney to access Jane’s accounts, sell her property, or make any decisions on her behalf. At that point, control of Jane’s estate passes to her executor (named in her will) or to a court-appointed administrator if no will exists.

Why This Matters:

Real estate transactions cannot be completed by an agent using a POA if the principal has died. Any attempt to sign or sell property using the deceased person’s POA is legally invalid and could constitute fraud. The estate must be probated, and the court-appointed executor or administrator becomes the only person authorized to manage the deceased’s affairs, including selling property, paying debts, and distributing assets.

What You Should Do Instead:

If the person has died and you need to handle their property or affairs, you must go through the probate process. This involves:

• Locating the will (if one exists)
• Filing a petition in probate court
• Having an executor or administrator officially appointed
• Using letters testamentary or letters of administration to act on behalf of the estate

Bottom Line:

A power of attorney is a living document—it only works while the person granting the authority is alive. Once they pass away, all powers under the POA cease, and any further actions must be taken under estate law through probate. Attempting to use a POA after death is not just ineffective—it may be illegal.

A power of attorney (POA) provided to a closing attorney may not be sufficient for use in a real estate or loan transaction for several important reasons. Real estate closings in Georgia require the POA to meet strict legal and practical standards. If those standards are not met, the document may be rejected, resulting in delays or the need to reschedule the closing.

The POA May Be Outdated

A POA that is several years old raises concerns for our firm. In such cases, there may be a legal presumption that the document has been revoked or that the principal may no longer be competent, alive, or even aware that the POA is still being used. We would generally require that POAs used in real estate closings be recently executed—typically within six months to a year—or that the principal explicitly confirms in writing that the POA is still valid and in effect.

Improper Execution

Under Georgia law, a POA must be properly executed, which means it must be:

• Signed by the principal
• Notarized
• Witnessed by at least one unrelated person 

If a POA lacks any of these formalities—such as being unsigned, missing a notary seal, or witnessed improperly—it is invalid and cannot be used. This is especially important for recording the document at the county level, which is often required when real estate is being transferred.

Lack of Specific Authority

A generic POA may not provide the specific authority required to execute a real estate deed or loan documents. For example

• to sell property, the POA must explicitly grant authority to sell real estate
• to borrow money or sign loan documents, the POA must include the exact loan amount, lender name, property address, and loan terms. Lenders require this level of specificity to ensure the principal fully understood and authorized the transaction. If this information is not clearly stated, the lender will not approve the POA for use, and the title company may not insure the transaction.

Risk of Fraud or Dispute

From a legal risk perspective, we must be confident that the POA is authentic, valid, and enforceable. Using a questionable or vague POA opens the door to potential fraud, disputes from family members, or future title challenges. To protect all parties involved—especially the buyer and lender—the closing attorney has a duty to verify the legitimacy and scope of authority granted in the POA.

Imagine an elderly woman named Mrs. Jones, who owns her home outright and lives alone. Her adult grandson, Mark, convinces her to sign a Power of Attorney (POA) giving him broad authority to manage her financial affairs, including real estate. However, Mark misrepresents the purpose of the document, telling Mrs. Jones it’s “just in case she ends up in the hospital” and needs help paying bills. In truth, Mark intends to use the POA to sell her home without her knowledge or consent. He signs the purchase and sale agreement, deed, and closing documents using the POA. The closing is invalid. In this situation, the POA was obtained through misrepresentation and undue influence, which under Georgia law can render the document invalid. Because Mrs. Jones was misled and did not intend to authorize the sale of her home, the POA is void as to that use. If she challenges the sale, the court may invalidate the transaction and void the deed that transferred the property.

Takeaway
To avoid delays, it’s always best to provide the POA in advance to the closing attorney for review, and when possible, have a new, properly executed POA prepared by the closing firm to ensure it meets all legal and transactional requirements.

No, you cannot lawfully enter into a contract to buy a property and then enter into a separate contract to sell that same property to someone else before you legally own it, unless you are using a proper contract assignment. Attempting to enter into a separate, undisclosed contract with a new buyer—while you have not yet acquired title—can raise serious legal and ethical issues, including potential claims of fraud, misrepresentation, or improper conduct involving powers of attorney or closing procedures.

When you contract to purchase property, you are not yet the legal owner. You cannot sell something you don’t own. Entering into a second, separate purchase and sale agreement—implying that you have ownership or control—can be deceptive, especially if you hide the original contract or mislead the new buyer, seller, closing attorney, or lender about the true nature of the transaction.

The correct and legal way to structure this type of transaction is through an assignment of contract. This means you are assigning your rights and obligations under your original contract to a third party, who will step into your place as the buyer. This must be disclosed to all parties, and the original seller must agree to the assignment—or at least not prohibit it under the terms of the purchase agreement.

Risks of Entering a Secret Second Contract

Engaging in a second, undisclosed contract while still under a binding agreement to purchase the property from the original seller can lead to:

• Fraud allegations if you represent yourself as the owner when you are not.
• Breach of contract with the original seller if the agreement prohibits assignments or resale prior to closing.
• Closing delays or failure if the closing attorney discovers discrepancies or title issues.
• Lender violations if financing is involved, as lenders must be aware of all parties and terms involved in the chain of title.

Improper Use of Power of Attorney

In some cases, individuals attempt to use a power of attorney (POA) to sign documents on behalf of the original seller—without proper authority—so they can close with the end-buyer before legally acquiring the property themselves. This is a serious violation of legal and ethical boundaries. A POA cannot be used to conceal your personal financial interest in a transaction involving someone else's property. Using a POA to sign as the seller—while actually trying to transfer ownership to yourself or your buyer—misrepresents your relationship to the principal and can be deemed fraudulent. Attorneys, title companies, and lenders are obligated to investigate and reject such transactions if misuse of a POA is suspected.

The Proper Way: Contract Assignment

If your intent is to enter into a contract to buy a property and then find a new buyer before you close, the correct legal method is to:

• Review your contract to see if it allows assignment.
• Draft an assignment agreement with your new buyer, making sure all parties (especially the original seller) are informed and, if required, have consented.
• Notify the closing attorney of the assignment so that the correct buyer appears on the closing documents.
• Do not attempt to use a POA or alternative contracts to obscure the transaction.

You have to probate your grandfather’s estate—even if everyone "knew" your father was supposed to receive the property—because in Georgia, property does not legally transfer ownership simply based on family understanding, verbal agreements, or informal possession. Instead, when someone dies owning property in their name alone, their estate must be probated to lawfully transfer title to their heirs or beneficiaries.

Why Probate Is Necessary

In Georgia, if a person dies without a will (intestate), the law determines who the rightful heirs are under the state’s laws of intestate succession. If they die with a will, probate is still required to establish the will’s validity and to carry out the distribution of assets as outlined.

In your situation, although it may have been well understood within the family that your father was to receive the property, your grandfather remained the legal owner of record at the time of his death. Until the estate is probated, the property legally remains in your grandfather’s name, and the title is clouded, meaning it cannot be sold, transferred, or refinanced without clearing that ownership through probate.

All Heirs Have a Legal Interest

Under Georgia law, if your grandfather died intestate, his heirs at law typically include:

• His children, including your father and any of your father’s siblings
• His spouse, if she (your grandmother) was alive at the time of his death

That means even if your father was living in the property or "everyone knew" it was meant for him, his siblings and possibly his spouse (your grandmother) also have a legal ownership interest unless they explicitly gave up or transferred that interest. Simply assuming your father owns the property does not change the legal ownership.

If Your Grandmother Was Alive

If your grandmother was alive when your grandfather died, she would be entitled to a share of the estate, typically one-third or more depending on the number of children. If she has since passed away, then her interest in the estate passes to her own heirs, which means her estate must also be probated. This can include your father’s siblings and even their children (your cousins), creating multiple chains of ownership.

Why This Matters

Failing to probate the estate leads to several serious consequences:

• The property cannot be legally sold or transferred, since the title is still in your grandfather’s name.
• Any person with a legal interest in the estate could later come forward and assert their claim, even years later.
• Title insurers and our firm will not allow the sale of the property until the title is cleared through probate.
• Without probate, no one can lawfully sign a deed or mortgage for the property, even if they live there or pay taxes.

Even if your family agrees that your father was supposed to inherit the property, the law requires probate to establish clear, legal ownership. Your grandfather's estate—and possibly your grandmother’s if she inherited part of it and later passed—must be probated so that the legal heirs can be identified, their interests transferred, and a clean title created. This protects not only your family’s property rights but also ensures the property can be lawfully used, inherited, or sold in the future.

You may need to get agreements from your neighbors before selling your property if there are issues with your property’s legal description, uncertain boundaries, or past conveyances that affect your parcel’s clarity or shape. This is essential to ensure that you are conveying good, clear, and marketable title to the buyer and not selling land you don’t legally own—or failing to include land you think is yours.

Why Neighbor Agreements May Be Required

In some cases, the legal description in your deed may be vague, outdated, or inaccurate. This can happen when:

• Older deeds reference landmarks that no longer exist (e.g., “oak tree” or “old fence line”),
• A portion of the property was previously sold or subdivided, but the records were not properly updated,
• Or neighboring properties were mis-described and now appear to overlap your land.

These situations create title uncertainty that makes your property uninsurable or unsellable until resolved.

Steps That May Be Necessary

• Survey the Property: A current, professional boundary survey is usually the first step. It defines the actual property lines and identifies any overlaps, encroachments, or discrepancies between the deed and what exists on the ground.
• Boundary Line Agreements:

If the survey reveals that boundary lines are unclear or disputed, or that a structure like a fence or driveway crosses into a neighbor’s land (or vice versa), you may need to enter into a boundary line agreement with the neighbor. This is a legal document signed by both parties to settle where the property line lies and prevent future disputes.

• Deeds or Easements from Neighbors:

If it turns out that part of your home, driveway, or other improvement is sitting on a neighbor’s property, or vice versa, you may need to:

• Obtain a corrective deed to transfer ownership of that small portion to you, or
• Request a permanent easement, which gives you the legal right to use the portion of land without owning it.

These agreements must be signed, notarized, and recorded in the county records to become legally effective and binding on future owners.

Why This Is Critical for Closing

Title insurance companies and closing attorneys in Georgia will not allow a closing to proceed if:

• The legal description is too vague to identify the land being sold,
• The property encroaches onto a neighbor’s land or vice versa,
• There’s a boundary dispute or potential adverse possession claim,
• Or the seller cannot prove that the land being conveyed matches the legal record.

Failing to resolve these issues in advance will delay closing or even terminate the sale, as the buyer cannot receive a clean and insurable title.

You may need to obtain agreements from neighbors before selling your property to confirm and legally establish boundary lines, especially when the legal description is unclear or the survey reveals discrepancies. This protects not only the buyer, but also you, the seller, from future legal disputes and ensures the sale can be completed with full and marketable title. It’s always best to work with a real estate attorney and licensed surveyor early in the process if you suspect there may be title or boundary concerns.

If you're trying to sell your property and the closing attorney says you can't proceed until a judgment lien against the person you bought it from is paid off, it's because that lien is still legally attached to the property—not just to the person. In Georgia, a judgment lien becomes a cloud on title when it is properly recorded and attached to any real estate the debtor owns in the county where the judgment is filed. This means the prior owner's debt is now encumbering the property you’re trying to sell, and it must be resolved before clear title can be conveyed to a buyer.

Why You Are Affected

When you bought the property, the lien from the prior owner may not have been satisfied or properly released. As a result, the lien remains on the public record and continues to follow the property, even after the ownership changed. Title to the property is still considered “clouded” because that judgment lien technically affects its marketability.

Under Georgia law, a seller cannot legally convey good and marketable title—which buyers, lenders, and title insurers require—if there is an unsatisfied lien still recorded against the property. That’s why your closing attorney is requiring that the lien be paid off or otherwise resolved before you can sell.

Why It Seems Unfair—But Still Applies

It may seem unfair that you are being told to pay off someone else’s debt. But the reality is, if the lien was recorded before you purchased the property, and it was not satisfied at that time, the lien remains enforceable against the property itself, regardless of who owns it now.

This issue typically arises when:

• The previous title search missed the lien, or
• The lien was not properly cleared or paid at the time of your closing, or

Solution: Use Owner’s Title Insurance

If you purchased an owner’s title insurance policy, this could provide a path forward. Title insurance protects against pre-existing liens or title defects that were not discovered or resolved during the previous closing. If you do not have title insurance, then you must work with closing agent and prior closing agent to get the lien cleared up. You can sue the prior owner if you cannot get them to pay.

To avoid this kind of issue in your next transaction, it is highly recommended that:
You always purchase owner’s title insurance when buying property, not just lender’s title insurance.

Wire transfer fraud has become one of the most devastating and fast-growing threats in real estate transactions, where large sums of money are exchanged—often through electronic means. One of the most critical steps buyers must take to protect themselves is verifying wiring instructions by phone using a known, trusted number, and not relying solely on information provided via email or text messages. Unfortunately, scammers have become increasingly sophisticated in impersonating real estate professionals and law firms, preying on the high-pressure nature of closing real estate deals to trick people into wiring funds to fraudulent accounts.

For example, buyers have been scammed by fraudsters who spoof the email addresses of real estate agents or brokers. In these cases, the scammer closely monitors email conversations between agents and clients, sometimes for weeks, by hacking into email accounts. Right before the scheduled closing, the scammer sends an email—posing as the realtor—informing the buyer that there has been a change in the wiring instructions. The message often looks perfectly legitimate, using the agent’s signature and tone, and even referencing the property address and closing date. One buyer in Texas lost over $200,000 after receiving such an email that appeared to come from her trusted realtor. She followed the instructions without calling to confirm, only to later find out the funds had gone to an offshore account controlled by criminals.

In another type of scam, fraudsters spoof law firm phone numbers or email addresses, calling or texting clients with supposedly urgent updates to wiring instructions. These calls often appear on caller ID to be from the actual law office or title company, thanks to caller ID spoofing technology. One recent victim in California received a text message on the morning of her closing that appeared to be from her closing attorney, instructing her to wire the funds to a “new escrow account due to a system issue.” The scammer used high-pressure tactics, insisting the deal couldn’t go through unless she acted immediately. Trusting the message, she complied—only to find out later that the law firm had never contacted her, and the money had vanished.

Fraudsters also often strike at the last possible moment, knowing that buyers are anxious and eager to finalize their purchase. They create a sense of urgency, making it seem like a delay in wiring funds could cause the buyer to lose the property. For instance, a couple in Florida was ready to close on their dream home when they received a last-minute email claiming the bank details had changed. The message emphasized that time was critical and warned them that if the funds weren’t received by noon, the deal would fall through and they would forfeit their deposit. Terrified of losing the home, the couple wired the money immediately—again, to a fraudulent account. By the time they reached out to their actual attorney later that day, it was too late.

The Waters Family – $272,000 Lost in Wire Fraud (Virginia, 2017)

In 2017, Mark and Beth Waters, a couple from Virginia, fell victim to a devastating real estate wire fraud scam during the closing of their new home. As their closing day approached, they received an email that appeared to come from their real estate agent, with instructions to wire $272,000—their life savings—for the home purchase.

The email looked completely legitimate. It referenced their upcoming closing, included their names, the property address, and was formatted just like previous communications they had received. Believing the message was authentic, the Waters wired the money to the bank account provided in the email.

Tragically, the email was from a cybercriminal who had been monitoring the transaction, likely by hacking into the real estate agent’s email account or spoofing it. The account details were fake, and the money was quickly moved out of reach—likely to international accounts where it became untraceable. By the time the Waters realized what had happened and contacted their bank, the funds were gone.

Despite involving the FBI and legal authorities, the couple was unable to recover the money. Since the law firm and title company had not authorized or sent the fraudulent wire instructions, they were not held liable, leaving the Waters family solely responsible for the loss. Their home purchase fell through, and they were left financially devastated.

Barbara Corcoran’s Assistant – Nearly Scammed Out of $400,000 (2020)

In early 2020, Barbara Corcoran, a prominent real estate mogul and investor known from Shark Tank, was nearly the victim of a $388,700 wire fraud scam—and the attempt was incredibly sophisticated.

The scammers impersonated Barbara’s assistant by using a spoofed email address that was nearly identical to the real one, differing by just one letter. They sent an email to Corcoran’s bookkeeper, instructing her to approve a wire transfer for a property renovation in Germany, which seemed plausible based on Barbara’s investment portfolio.

The email included convincing details—complete with a legitimate-looking invoice, professional tone, and references to a “trusted” German real estate firm. The bookkeeper, believing it was a routine request, processed the wire transfer without verifying it directly with Barbara or the assistant.

The funds were sent, but just in time, the real assistant noticed something was off. She discovered the altered email address and raised the alarm. The Corcoran team immediately contacted the bank and, because the fraud was caught within hours, they were able to reverse the wire transfer before the funds were lost.

Although Barbara Corcoran didn’t lose the money, this near-miss shows just how even seasoned professionals with strong business infrastructures can fall victim to these scams. If not for a lucky catch, the money would have been irretrievable. 

These examples highlight why it is so important to never trust wiring instructions received via email or text, no matter how convincing they seem. Always call your real estate agent, attorney, or title company at a verified phone number—not the number listed in the email or message—to confirm the instructions verbally. This simple step can make the difference between a successful home purchase and a devastating financial loss.

PROTECT YOURSELF FROM REAL ESTATE WIRE FRAUD

Wire Fraud Is On The Rise! Don't become the next victim. Real estate transactions are prime targets for cybercriminals using deceptive tactics to steal your closing funds.

How Scammers Operate:

• Spoofed Emails: Hackers mimic emails from your realtor or attorney with updated wiring instructions.
• Fake Phone Numbers: Fraudsters spoof the phone number of your law firm or title company.
• Last-Minute Urgency: They insist the deal will fall through unless you send the money immediately.

YOUR ACTION PLAN:

1. VERIFY BY PHONE – Always call a known, trusted number to confirm wire instructions. Never rely on contact details in an email.
2. DO NOT RUSH – Be skeptical of last-minute changes and pressure tactics.
3. TRUST YOUR GUT – If something feels off, pause and double-check.
4. LOOK CAREFULLY – One wrong letter in an email address can signal fraud.

WHAT TO DO IF YOU’RE TARGETED:

• Contact your bank immediately to attempt to recall the wire.
• File a complaint at IC3.gov
• Report the scam to local law enforcement and your real estate professionals.

Questions? Need help verifying instructions? Call your attorney or agent directly using a verified phone number – not one from an email or text.
Stay alert. Stay protected. Don’t let scammers steal your future home.

1. Articles of Organization (or Certificate of Formation)

• What it is: This is the official document filed with the Secretary of State that establishes the LLC as a legal entity.
• Why it’s needed: It verifies that the LLC exists and is authorized to do business.

2. Operating Agreement

• What it is: This internal document outlines the management structure of the LLC, including who has the authority to act on behalf of the company.
• Why it’s needed: It helps determine whether the person signing purchase or sale documents (such as a deed or settlement statement) is authorized to do so. 

If your operating agreement does not authorize the person signing—or if the agreement is silent—you’ll need additional documentation (see below).

3. Resolution of Authority or Authorization

• What it is: A written resolution, usually signed by the members or managers of the LLC, explicitly authorizing a specific person to sign documents related to the real estate transaction.
• When it’s needed:
  • If the operating agreement does not mention the person signing, or
  • If the LLC is managed by someone other than the signer, or
  • If there has been a change in authority since the last operating agreement or resolution. 

Example: If the operating agreement lists Jane Doe as the sole manager, but John Smith is signing the deed, you’ll need a resolution showing that John Smith is now authorized to sign on behalf of the LLC.

4. Good Standing Certificate

•  What it is: A document issued by the Secretary of State confirming that the LLC is in good standing and legally authorized to conduct business.
• Our firm will obtain this document before closing 

5. EIN (Employer Identification Number) or Tax ID

• What it is: The LLC’s federal tax identification number.
• Why it’s needed: Required for tax reporting and for setting up settlement documentation and escrow.  

Why This Matters

If the title company or attorney cannot verify who is legally authorized to sign on behalf of the LLC, they may delay or cancel the closing. Providing these documents upfront can save time, prevent legal complications, and ensure a smooth closing.

When a corporation is involved in a real estate transaction, title companies and closing attorneys must verify that the corporation exists, is in good standing, and that the person signing the documents is properly authorized to act on behalf of the corporation. This protects the integrity of the transaction and avoids future legal disputes.

1. Articles of Incorporation (or Certificate of Incorporation)

• What it is: The formation document filed with the Secretary of State that legally creates the corporation.
• Why it's needed: Proves that the corporation is a legally recognized entity authorized to conduct business.

2. Corporate Bylaws

• What it is: The internal governance document that outlines the roles and powers of corporate officers and directors.
• Why it’s needed: Shows whether the person signing has authority to enter into contracts or dispose of assets, like real property, on behalf of the corporation.

3. Corporate Resolution Authorizing the Transaction

• What it is: A formal, board-approved resolution stating that the corporation is authorized to buy or sell the property and that a named officer (or officers) is authorized to sign all necessary documents.
• When it’s needed:
  • If the signing authority is not explicitly granted in the bylaws.
  • If multiple officers must approve significant actions like real estate sales.
  • If this transaction involves a substantial portion of the corporation’s assets, triggering board or shareholder approval.

Example: If the corporation's bylaws don't state that the Vice President can sign real estate documents, a board resolution naming the Vice President as the authorized signer would be necessary.

4. Certificate of Good Standing

• What it is: A document from the Secretary of State confirming that the corporation is active and compliant with all state filing and fee requirements.
• Our law firm will obtain this

5. Federal EIN (Tax ID Number)

• What it is: The Employer Identification Number issued by the IRS.
• Why it’s needed: Required for financial reporting, IRS compliance, and preparing closing statements.

6. Corporate Seal

• What it is: A stamp or embossing seal bearing the corporation’s name and state of incorporation.
• Why it’s needed:
  • Deeds and affidavits and promissory notes must be sealed to authenticate them as official corporate acts.
  • It also adds formality and credibility to the documentation

If your corporation does not have a physical seal, be sure to notify our office in advance. In some cases, a statement noting that the corporation does not use a seal can be included in the corporate resolution or document signature block.
If you are representing a corporation in a real estate purchase or sale, be sure to bring the corporate seal to closing unless otherwise instructed. This ensures that all documents can be properly executed, notarized, and recorded—avoiding last-minute issues that could delay or invalidate the transaction.

1. Certification (or Affidavit) of Trust

• What it is: A summary document signed by the trustee(s) that confirms key details about the trust without revealing the full contents.
• Why it’s required:
  • To establish that the trust exists and is in good standing.
  • To confirm that it has not been revoked, modified, or terminated.
  • To identify the current trustee(s) and verify they have the authority to buy, sell, or encumber property.
• Contents typically include:
  • Name and date of the trust.
  • Identity of trustee(s) and any successor trustees. 
  • Powers granted to the trustee (particularly authority over real estate).
  • Statement that the trust has not been revoked or amended in any way that affects this transaction.    

O.C.G.A. § 53-12-287 regulates the use of trust certifications.

2. Complete Trust Agreement or Trust Abstract What it is:

• A full copy of the trust document or a trust abstract, which is a summarized version often prepared by an attorney.
• Why it might be required:
  • To confirm specific authority granted to the trustee(s).
  • To ensure that the trust allows the purchase or sale of real estate.

3. Trustee Identification

• What it is: A copy of a valid government-issued photo ID for each acting trustee.
• Why it’s needed: Verifies the identity of the person(s) signing documents and ensures they match the names listed in the trust or certification.

4. Successor Trustee Information (If Applicable)

• What it is: Documentation showing the current trustee's authority if a former trustee has died, resigned, or become incapacitated.
• Why it’s needed: To prove that the successor trustee has properly assumed authority as outlined in the trust.

When participating in a Georgia real estate closing as a partnership—whether as a general partnership, limited liability partnership (LLP), or limited liability limited partnership (LLLP)—certain documentation must be provided to ensure the authority and legality of the transaction. This helps confirm who is authorized to act on behalf of the partnership and whether the entity is properly registered and in good standing.
Here’s a detailed overview of what you’ll need to provide:

1. Partnership Agreement

• What it is: The foundational contract between the partners outlining the structure, authority, and decision-making rules for the partnership.
• Why it’s required: It identifies:
  • Who the partners are,
  • Whether the partnership can own or sell property,
  • Who is authorized to execute real estate documents on behalf of the partnership.

If the agreement is silent on property transactions or if authority is limited, a partner resolution or amendment may be needed to clarify or expand authority.

2. Amendments to the Partnership Agreement

• What it is: Any official modifications to the original partnership agreement.
• Why it’s required: To reflect:
  • Changes in authority or management,
  • Addition or removal of partners,
  • Updated signing powers or decision thresholds (e.g., majority vote, unanimous consent).

3. Entity Registration Documents

Depending on the type of partnership, registration requirements vary in Georgia:

General Partnership:

• Filing Requirements: May not require registration with the state, but if the partnership does business under a trade name, a certificate of trade name must be recorded with the clerk of the superior court in the county where the business operates.
• What to provide:
  • A certified copy of the county-level registration
  • The full legal name of the partnership.  

Limited Liability Partnership (LLP):

• Filing Requirements: Must register with the Georgia Secretary of State.
• What to provide:
  • A Certificate of Limited Liability Partnership.
  • Any amendments filed with the Secretary of State.
  • A Certificate of Existence (Good Standing) 

Limited Liability Limited Partnership (LLLP):

• Filing Requirements: Must register with the Georgia Secretary of State.
• What to provide:
  • A Certificate of Limited Partnership with a statement electing LLLP status.
  • Any amendments or updated registrations.
  • A Certificate of Existence

4. Partner Authorization or Resolution (If Needed)

• What it is: A document signed by the partners authorizing one or more specific individuals to sign documents for the purchase or sale of real estate.
• When it’s required:
  • If the partnership agreement doesn’t clearly state who may sign.
  • If the signer is not a named partner (e.g., an attorney-in-fact or employee).
  • If the transaction involves significant assets or special circumstances.

This can help avoid disputes and is especially important when not all partners are present at closing.

5. Government-Issued ID for Signing Partners

• Why it’s needed: To verify the identity of those executing documents on behalf of the partnership.  

Important Notes

• General partnerships may not be registered with the Secretary of State, but county-level filings are essential for doing business legally under a trade name.
• Our office requires clarity about who is authorized to act, especially when dealing with shared authority in a multi-partner structure.
• Failure to provide a comprehensive partnership agreement or proper registration can delay or jeopardize the transaction.

A reverse mortgage is a unique type of loan available primarily to homeowners aged 62 or older, allowing them to convert part of the equity in their home into cash. Unlike a traditional mortgage, the borrower is not required to make monthly payments. Instead, the loan is repaid when the homeowner sells the house, moves out permanently, or passes away. The most common form of reverse mortgage is the Home Equity Conversion Mortgage (HECM), which is insured by the Federal Housing Administration (FHA). Funds from a reverse mortgage can be received in several formats, including a lump sum, monthly payments, a line of credit, or a combination of those options.

There are several potential advantages to a reverse mortgage. For retirees with limited income but significant home equity, it can provide an important source of supplemental income. Since there are no monthly payments required, it can ease financial pressure during retirement. Borrowers can remain in their home as long as it remains their primary residence, and since reverse mortgages are non-recourse loans, borrowers or their heirs will never owe more than the home’s value at the time of repayment. Additionally, the flexible payout options offer versatility for different financial needs.

However, there are important drawbacks to consider. A reverse mortgage reduces the equity in your home, which means there may be less to leave to your heirs. The upfront costs—including origination fees, closing costs, and mortgage insurance—can be high. Borrowers must continue to pay property taxes, homeowners insurance, and maintain the home. Failure to meet these obligations can result in foreclosure. Additionally, a reverse mortgage is not a good option for those who plan to move in the near future, as the costs might outweigh the benefits if the loan is only in place short term. It may also affect eligibility for means-tested benefits such as Medicaid, although Social Security and Medicare are not impacted.

When deciding whether a reverse mortgage is right for you, consider several key questions: Do you plan to stay in your home long term? Do you have limited cash flow but significant home equity? Are you comfortable with reducing your estate for heirs? Have you explored alternatives such as downsizing, a home equity line of credit (HELOC), refinancing, or renting part of your home?

Before proceeding with a reverse mortgage—especially a federally insured HECM—you are required to complete a counseling session with a HUD-approved housing counselor. This session is designed to ensure you fully understand the implications, costs, and alternatives available to you. If you're interested, I can help you locate a counselor in your area or provide additional resources to evaluate whether a reverse mortgage is a good fit for your needs.

Intellicheck is an advanced identity verification technology used in real estate and financial transactions to authenticate government-issued photo IDs in real-time. It plays a critical role in fraud prevention—particularly in protecting against seller impersonation fraud, a type of fraud that is unfortunately becoming more common in the real estate world.

What Is Intellicheck?

Intellicheck is a secure, digital identity verification system that uses sophisticated technology to scan and validate official identification documents—such as driver’s licenses or passports—against authoritative data sources. It is designed to detect altered, forged, or fake IDs in under a second with an extremely high degree of accuracy.
The system is commonly used by banks, title companies, law firms, and real estate professionals to confirm the true identity of buyers and sellers before proceeding with high-value transactions.

Why You Are Being Asked to Use Intellicheck

You are being asked to complete an Intellicheck identity verification in order to protect the integrity of your real estate transaction and to help prevent a growing threat known as seller impersonation fraud. This added layer of security is designed to protect you, your property, and the other parties involved.
Understanding Seller Impersonation Fraud
Seller impersonation fraud occurs when a fraudster pretends to be the legitimate owner of a property and attempts to sell it without the real owner's knowledge or consent. Here's how it usually happens:

1. The fraudster identifies a target property—often vacant land, rental property, or a second home—that is not frequently monitored.
2. They pose as the rightful owner, using fake or forged IDs, email addresses, and phony notary signatures.
3. They contact a real estate agent or law firm, often insisting on a quick, remote, cash sale, and pressure professionals to move fast.
4. If undetected, the sale is completed, and the true owner may not discover it until it's too late—after the deed has been recorded and the money is gone.

This type of fraud has already cost homeowners, buyers, and real estate professionals billions of dollars, and once the funds are transferred, they are often impossible to recover.

How Intellicheck Helps Prevent Fraud

Intellicheck combats this threat by:

• Instantly verifying the authenticity of your ID against official issuing authority databases.
• Ensuring the name, photo, and document number match what's on file.
• Detecting tampered or fabricated IDs, even when they appear legitimate to the human eye.
• Providing confidence that the person executing the transaction is who they say they are. 

By completing Intellicheck, you are confirming your identity in a secure and efficient way that helps prevent someone else from stealing your name or your property.

What You’ll Need to Do

• Use a smartphone or device with a camera to complete the verification process.
• Upload or scan your government-issued photo ID (e.g., driver’s license or passport).
• Take a selfie or short live video (depending on the system’s prompt) to match your face to the ID. 

The process is fast (under 2 minutes), secure, and fully encrypted.

Bottom Line

Intellicheck is a proactive measure to help ensure that real estate transactions are safe, secure, and trustworthy. In an environment where seller impersonation fraud is a real and growing threat, identity verification tools like Intellicheck provide critical protection for all parties—especially in high-value, remote, or fast-moving transactions.
If you're asked to complete Intellicheck, it's not because anyone doubts your identity—it's because Cooper Law Firm is committed to safeguarding your investment and the integrity of the transaction.

In Georgia, you are required to pay off any judgments or liens against you in order to sell a property because these legal claims attach to the title of your real estate and prevent you from conveying clear, marketable title to a buyer. Under Georgia law, a seller must transfer good and merchantable title, free from any encumbrances that would materially affect the value or usability of the property. If there are outstanding liens—such as a tax lien, a judgment from a lawsuit, a mechanic’s lien from unpaid contractors, or even a child support lien—those are considered defects in title that must be resolved before closing.

When a lien or judgment is recorded in the county's real estate records, it becomes a public notice that the property is encumbered by debt. This means the debt is tied to the property itself—not just to you personally—and must be satisfied before it can be sold or refinanced. During the sale process, the closing attorney (required under Georgia law to conduct real estate closings) will perform a title search. If any liens or judgments are discovered, the title company will refuse to issue title insurance until they are cleared. Without title insurance, no lender will fund a mortgage, and most buyers will not proceed with the purchase.

At closing, any outstanding liens or judgments are typically paid directly from the seller’s proceeds, as coordinated by the closing attorney. If the amount owed exceeds the seller’s equity, the seller must either bring funds to the closing table or negotiate a reduced payoff or release with the creditor. Failure to satisfy these obligations can result in a breach of contract and may expose the seller to legal liability if the sale falls through.

In summary, under Georgia law, satisfying judgments and liens is not just good practice—it is legally necessary to ensure the buyer receives clean title. Failing to do so can delay or derail the closing and potentially lead to litigation. If you're unsure about what encumbrances may exist on your property, it’s best to consult your real estate attorney or request a title search early in the process.

In Georgia, retiring the title of a mobile home is an essential legal step when the homeowner wants the home to be treated as real property instead of personal property. By default, mobile or manufactured homes are classified as personal property and are issued a certificate of title by the Georgia Department of Revenue (DOR), much like a vehicle. However, if the home is permanently affixed to land that the homeowner owns, and the goal is to treat the land and home as one unified piece of real estate—for purposes such as financing, resale, or estate planning—the mobile home title must be formally retired.

This process is governed by O.C.G.A. § 8-2-181, and involves several key steps. First, the mobile home must be permanently affixed to the land—meaning it is placed on a permanent foundation and connected to utilities in accordance with local building codes. The homeowner must also own both the land and the home, and any liens on the mobile home title must be satisfied or released before the title can be retired.

To initiate the process, Cooper Law Firm can assist with preparing and submitting a Title Retirement Application (Form T-234) to the Georgia Department of Revenue. This application includes the original mobile home title (free of liens), a certified copy of the recorded warranty deed for the land, a legal description of the property, and confirmation from the county tax assessor that the mobile home is now being taxed as real estate. Some counties may require additional documentation or affidavits, which Cooper Law Firm can help prepare and file on your behalf. However, this process is time consuming and adds a significant cost to the closing fees. 

Retiring the title is a crucial part of the closing process because most lenders and title insurance companies will not treat a mobile home as part of the collateral unless it has been legally converted to real property. Without retiring the title, the home remains personal property and could be repossessed independently of the land. By completing the retirement process, the mobile home becomes part of the real estate, and both land and structure can be conveyed together by deed.

In summary, retiring a mobile home title in Georgia is necessary when the home is permanently affixed to land and intended to be sold, financed, or inherited as real property. Cooper Law Firm can guide you through the entire process, ensuring all required documentation is properly completed and filed so that your property is legally recognized and protected as real estate.

We are very sorry for your loss. When your spouse passes away and you held property together as joint tenants with right of survivorship (JTWROS), Georgia law allows the surviving joint tenant to automatically become the sole owner of the property. This is one of the main benefits of joint tenancy with right of survivorship: it avoids the need for probate and ensures a smooth transfer of ownership. However, to document and confirm this change in title, Georgia real estate law and practice require that the survivor sign an Affidavit of Death of Joint Tenant or similar affidavit as part of the sale process.

At Cooper Law Firm, we require this affidavit because even though the property automatically passes to you by operation of law, the county land records must reflect that the other owner (your spouse) has died. The affidavit serves as formal notice to the public and the title company that your spouse is deceased and that you are now the sole owner with full authority to sell the property. It also helps the closing attorney comply with title insurance requirements, ensuring the title is marketable and free of legal questions.

Under Georgia law, particularly the rules governing real estate title and conveyancing, any real estate sale must be supported by clear and updated documentation in the public record. When a seller was previously a co-owner with survivorship rights, the affidavit is necessary to "clear" the deceased owner's name from the title records. Without it, the county deed records would still show two owners, and the title company may refuse to issue a title policy until the matter is formally clarified.
The affidavit typically includes:

• Your spouse’s full legal name and date of death.
• A statement that you and your spouse held title as joint tenants with right of survivorship.
• A reference to the recorded deed establishing your joint ownership.
• A statement that the joint tenancy was never severed
• A statement that you did not kill your spouse with malice aforethought as required by the Georgia slayer statute
• A statement that you were not divorced at the time of her death
• A certified copy of the death certificate attached to the affidavit.

Once signed and notarized, this affidavit is recorded in the county where the property is located, along with the death certificate, to legally confirm the transfer of full ownership to you.
In short, while you legally became the sole owner of the property upon your wife’s passing, the affidavit is a necessary legal formality that allows Cooper Law Firm to complete the sale correctly, protect all parties involved, and ensure the deed reflects your sole ownership. If you need assistance preparing or recording the affidavit, Cooper Law Firm can handle that for you as part of your closing process.

The Cybersecurity Fee charged by Cooper Law Firm is a small but essential investment in the protection of your sensitive personal and financial information during the real estate transaction process. In today’s digital age, real estate closings are frequent targets of cybercrime, wire fraud, and identity theft. At Cooper Law Firm, we are fully committed to safeguarding your data, your money, and the integrity of your transaction. The cybersecurity fee helps us maintain and continuously enhance our advanced security infrastructure to meet these goals.

A portion of this fee goes toward maintaining private, encrypted data storage systems that house your personal and financial documents. These systems comply with stringent legal and cybersecurity standards, ensuring that your Social Security number, loan details, ID copies, and other private records are not accessible to unauthorized parties. Unlike generic email platforms or unsecured file-sharing services, our internal data systems are built specifically to protect against modern digital threats.

In addition, the cybersecurity fee supports real-time financial reconciliation tools, which allow us to closely monitor and track all funds moving in and out of our escrow and trust accounts. These systems allow us to detect any irregularities or unauthorized transactions immediately, providing an additional layer of protection for your closing funds. By reconciling financial activity on a live, rolling basis—not just at the end of each day—we significantly reduce the risk of theft or fraud impacting your transaction.

The fee also helps us verify the identities of all parties involved in the closing. We use trusted, secure identity verification tools to ensure that everyone signing documents—whether buyers, sellers, or agents—is truly who they say they are. This proactive measure is critical to prevent impersonation fraud, which has become one of the most dangerous and costly forms of real estate fraud in recent years. With identity thieves posing as sellers or buyers to divert funds or steal property, our ability to confirm identities with precision is a vital part of protecting your transaction.

Finally, the cybersecurity fee enables us to ensure that wiring instructions are sent securely and with maximum protection. We do not send sensitive wire information over unprotected email. Instead, we use secure portals, multifactor authentication, and verification protocols to confirm all wire instructions both when sending and receiving them. Before we initiate or approve any wire transfer, our team conducts manual verification through known, trusted contact methods, and our systems track the flow of funds from start to finish. This is essential for avoiding wire fraud, which can result in irreversible losses if funds are sent to the wrong party.

In summary, the cybersecurity fee supports a wide range of advanced technologies and procedures that allow Cooper Law Firm to uphold our promise of keeping your information private and your funds secure. It’s a small cost that plays a crucial role in ensuring a smooth, secure, and fraud-resistant real estate closing experience.

A Transfer on Death Deed (TOD Deed) is a legal instrument used as an estate planning tool that allows a property owner to name a beneficiary who will automatically inherit real estate upon the owner's death—without the need for probate. While this tool can be attractive in certain jurisdictions, it is not generally recommended in Georgia. 

One major concern is that the owner retains full ownership and control over the property during their lifetime, meaning they can sell, mortgage, or revoke the deed at any time without the beneficiary’s consent. While that flexibility may sound convenient, it can create false expectations for the beneficiary, who may assume they have a secured interest when in fact they do not.

Another critical flaw is that even if a valid TOD deed were in place, the beneficiary must accept the deed within nine months of the property owner’s death. If they fail to do so—intentionally or accidentally—the property does not transfer to them and instead reverts to the decedent’s estate, making it subject to probate after all. This defeats one of the main purposes of using a TOD deed in the first place.

In estate planning practice at Cooper Law Firm, we generally recommend more stable and effective tools to transfer real estate upon death, such as:

• Joint tenancy with right of survivorship, which allows property to pass immediately to the co-owner.
• Revocable living trusts, which provide control and flexibility while avoiding probate.
• Traditional wills, combined with careful titling of assets and estate administration planning. 

In conclusion, while Transfer on Death Deeds may be seen as a probate-avoidance strategy, they come with significant legal and practical risks. For Georgians seeking to transfer real estate upon death efficiently and securely, other estate planning options are safer, more reliable, and fully supported by Georgia law.

Assuming another veteran’s mortgage under a VA (Veterans Affairs) loan is a process that allows a qualified buyer—veteran or non-veteran—to take over the existing mortgage terms of a VA loan, including the current interest rate, remaining balance, and repayment schedule. This can be especially appealing if the original loan has a lower interest rate than current market rates. However, the process is not automatic and requires approval from the loan servicer or lender, and in most cases, the VA itself must approve the assumption to ensure that both the buyer and the seller are protected.

To assume a VA loan, the buyer must apply with the current mortgage servicer, meet creditworthiness and income requirements, and go through underwriting. If approved, the loan is formally transferred, and the buyer begins making payments under the existing terms. The key benefit of assuming a VA loan is the potential to lock in a favorable interest rate from the original loan, which can lead to significant long-term savings. Additionally, the buyer may avoid some of the closing costs and fees associated with new loans. Another advantage is that there is no requirement to be a veteran to assume a VA loan; civilians may also be eligible if they meet the lender’s requirements.

However, there are also some drawbacks. One major consideration is that if the buyer is not another veteran who substitutes their own VA entitlement, the original veteran’s entitlement remains tied to the loan until it is fully paid off. This means the original veteran may not be able to use their full VA home loan benefit again until the assumed loan is satisfied. Also, even though the assumption process may be simpler than applying for a new mortgage, it still requires full lender approval and can take time. There may also be a VA funding fee for the buyer, and in some cases, the seller remains secondarily liable on the loan if the buyer defaults and VA approval of the assumption was not properly granted.

In summary, assuming a VA loan can be a financially smart move for a buyer seeking a low-interest mortgage, but it requires proper approval and careful consideration of the impact on both parties—especially the seller’s remaining VA entitlement. Anyone considering this option should consult with a lender familiar with VA loan assumptions and, ideally, a real estate attorney to ensure the process is handled correctly and in their best interest.

A tax sale property in Georgia refers to real estate that has been sold by a county government to recover unpaid property taxes. When a property owner fails to pay their property taxes, the county tax commissioner has the legal authority to auction the property at a tax sale, allowing the county to recoup the delinquent taxes. While buying property at a tax sale may seem like an inexpensive way to acquire real estate, these properties typically come with clouded titles, meaning the buyer cannot obtain clear, insurable, or marketable title immediately after purchase.

Under Georgia law (O.C.G.A. § 48-4-40 et seq.), a tax sale does not automatically extinguish the former owner’s interest. After the tax sale takes place, there is a mandatory 12-month redemption period during which the original owner (referred to as the “tax sale defendant”) has the right to redeem the property by repaying the delinquent taxes, interest, and associated fees to the purchaser. During this period, the buyer does not have full ownership and cannot take possession, make improvements, or transfer marketable title. If the former owner redeems the property, the tax sale buyer must return the property and will be refunded their investment, along with a premium as required by law.

Importantly, unless the county went to court and obtained a judicial tax foreclosure (a tax sale with confirmation and judgment)—which is uncommon—the title acquired at a tax sale is not marketable or insurable, even after the one-year redemption period has expired. That’s because the tax sale itself does not clear all prior claims, liens, or interests against the property, including rights of heirs, unknown parties, or lienholders who were not properly notified.

To convert the tax deed into marketable title, the tax sale buyer must take additional legal steps after the redemption period has passed and no redemption has occurred. There are two options:

1. Obtain a quitclaim or warranty deed from the original owner (tax sale defendant). This is the simpler and less expensive option, but it’s not always possible—especially if the prior owner is deceased, uncooperative, or cannot be located.
2. File a quiet title action “against all the world” in Superior Court. This is a formal court process under O.C.G.A. § 23-3-60 et seq., in which the tax deed holder sues all parties with a potential interest in the property to legally “quiet” any competing claims. This legal proceeding can take a year or more to complete and may cost several thousand dollars in legal fees, publication costs, and court expenses. Even then, the court must be satisfied that proper notice was given to all relevant parties and that the tax sale was conducted lawfully.  

In summary, while tax sale properties in Georgia can be acquired for relatively low prices, the titles to these properties are usually clouded due to the original owner's right of redemption and the lack of judicial confirmation. Without clearing the title—either through a quiet title action or deed from the previous owner—the buyer cannot sell, insure, or develop the property confidently. Anyone considering investing in tax sale properties should consult with a real estate attorney, such as those at Cooper Law Firm, to understand the legal risks, timelines, and costs involved in securing clear title.

If you're considering a short sale—selling your home for less than the amount owed on your mortgage—there are several important steps you need to take, and the process varies depending on the type of loan you have (such as VA, FHA, or conventional) and the policies of your specific lender or loan servicer. A short sale can be a good option if you're facing financial hardship and want to avoid foreclosure, but it requires careful coordination, documentation, and approval from your mortgage holder.

1. Understand What a Short Sale Is

A short sale occurs when your lender agrees to allow you to sell your property for less than the total amount owed on your mortgage, and typically forgive the remaining balance (though this can vary). Because the lender is agreeing to take a loss, they have full discretion over whether to approve the sale and under what terms.

2. Determine Your Loan Type

VA Loans (Department of Veterans Affairs)
If you have a VA-backed loan, the short sale process is called a Compromise Sale. The VA has its own set of procedures and will generally require:

• Proof of financial hardship.
• An appraisal or broker price opinion (BPO) to determine fair market value.
• That the sale be “arm’s length”—meaning the buyer cannot be a relative or connected party.
• A deficiency waiver request to relieve the veteran of future collection efforts.

Importantly, completing a VA compromise sale can impact your remaining VA loan entitlement, which may limit your ability to use a VA loan again in the future.
FHA Loans (Federal Housing Administration)
If your loan is insured by the FHA, the short sale process must follow HUD’s Pre-Foreclosure Sale (PFS) Program. Key elements include:

• You must be at least 31 days delinquent, or otherwise prove an unavoidable hardship.
• Your servicer must complete a financial review and determine your eligibility.
• The home must be listed for sale for at least 15–30 days before accepting a contract.
• Once an offer is received, the lender must obtain HUD approval before proceeding. 

HUD also limits what closing costs the lender will pay, caps commissions, and may allow you a small cash incentive ($3,000) for relocation if you complete the process successfully and vacate the property.

Conventional Loans and Private Lenders

For non-government-backed loans, each lender has its own short sale guidelines, which are often similar in structure but vary in detail. Most will require:

• A hardship letter explaining why you cannot continue making payments.
• Proof of income, expenses, and assets to evaluate your financial condition.
• A listing agreement and purchase offer from a bona fide buyer.
• A market analysis or BPO to assess the offer’s fairness.

Some lenders will require you to be in default before considering a short sale, while others will entertain it as a proactive measure. You may also be asked to sign a deficiency agreement—either waiving the remaining debt or agreeing to repay part of it through a promissory note.

3. Gather Required Documentation

No matter the loan type, you’ll typically need:

• A signed listing agreement with a real estate agent.
• A signed purchase contract from a buyer.
• Your hardship letter.
• Two or more recent bank statements.
• Pay stubs or a profit and loss statement if self-employed.
• Recent tax returns.
• A HUD-1 or preliminary settlement statement showing closing figures.  

4. Work With Your Lender and Real Estate Professionals

It’s crucial to:

• Communicate openly with your lender throughout the process.
• Retain an experienced real estate agent who has handled short sales.
• Consider hiring a real estate attorney, such as Cooper Law Firm, to review the documents, negotiate terms, and protect you from post-sale liability or tax consequences.

5. Understand the Risks and Consequences

• A short sale may still negatively impact your credit score, though typically less than a foreclosure.
• If the lender does not forgive the deficiency, you could be sued for the balance.
• There may be tax consequences unless you qualify for a hardship exclusion.

Doing a short sale in Georgia involves several moving parts, and the exact process depends heavily on who your lender is and what type of loan you have. Whether you're dealing with VA, FHA, or a private lender, you’ll need to submit detailed financial documentation and get formal approval for the sale. Because the process can be complex and time-sensitive, it’s best to work with a team that includes an experienced agent and a knowledgeable attorney like those at Cooper Law Firm who can help you navigate lender requirements, protect your rights, and pursue the most favorable outcome.

An Agricultural Use Assessment—also known in Georgia as a Conservation Use Value Assessment (CUVA)—is a property tax incentive program that allows landowners to receive substantially reduced property tax bills in exchange for agreeing to restrict the use of their land to qualifying agricultural, conservation, or forestry purposes for a period of ten (10) years. This program, governed by O.C.G.A. § 48-5-7.4, is commonly used by farmers, timberland owners, and rural landowners to save money on ad valorem taxes.
What the CUVA Program Does
CUVA allows enrolled land to be assessed at its current-use value rather than its fair market value, often resulting in significant tax savings. In exchange, the landowner agrees to keep the property in eligible agricultural or conservation use for the full 10-year covenant period.

What Happens If the Covenant Is Broken

If the terms of the covenant are violated (called a “breach”), the owner is subject to penalties and repayment of the tax benefits received. A breach can occur if:

• The land is converted to non-agricultural use, such as commercial or residential development.
• The property is subdivided or sold in smaller tracts not consistent with agricultural use.
• Improvements are made that are inconsistent with conservation or farming purposes.
• The property is sold to someone who does not continue to comply with the covenant, and no new covenant is entered into.

If a breach occurs, the landowner (or sometimes the buyer) must pay all previously saved taxes plus interest at the rate of 15% per year, going back to the start of the covenant. This can total thousands of dollars, especially for large tracts with long-standing assessments.

What You Need to Do About CUVA at Closing

CUVA covenants “run with the land”, meaning they transfer to new owners unless specifically released. Therefore, if the land is sold before the 10-year covenant expires, the buyer must either:

• Agree to continue the covenant and maintain the land in qualifying agricultural use, or
• Allow the covenant to be breached, which will trigger a financial penalty owed to the county tax assessor.

To avoid confusion and disputes, buyers and sellers must address the CUVA issue clearly in their purchase and sale agreement. Specifically:

1. Disclose the CUVA status of the property.
2. Negotiate who will be responsible for the penalty if the covenant is broken—the buyer, the seller, or shared.
3. Include language in the contract stating that this agreement regarding CUVA “shall survive the closing”, meaning it remains enforceable after the deed is signed. 

This ensures that whichever party assumes the financial responsibility is bound by the terms, and avoids post-closing litigation or surprise tax bills.
An Agricultural Use Assessment (CUVA) is a valuable tax tool, but it comes with a long-term commitment and financial consequences if breached. In a Georgia real estate transaction, it is essential that both buyer and seller understand the status of any existing CUVA covenant, and agree in writing on how to handle any potential breach and who will be responsible for penalties. At Cooper Law Firm, we assist clients in reviewing title records, analyzing CUVA obligations, and drafting protective language in the purchase contract to ensure both parties are fully protected.

In Georgia, foreclosures are conducted through a non-judicial process, where the lender sells the property at a public auction (often on the first Tuesday of the month) after following notice requirements under O.C.G.A. § 44-14-160 et seq. The sale is held at the county courthouse, and properties are sold to the highest cash bidder.

What You Should Know:

• Sold “as-is, where-is”: You don’t get to inspect the interior of the property before the sale. You’re buying based on limited or no knowledge of the property's condition.
• No title insurance or warranty deed: The property is sold via non-warranty deed (deed under power). You take title subject to all liens and encumbrances that weren’t extinguished by the foreclosure.
• No disclosure obligations: The bank or lender won’t provide seller disclosures.
• Cash required: Sales require certified funds at the time of the auction or shortly thereafter.
• Eviction may be necessary: The previous owner or tenants may still occupy the property, and you may have to file a dispossessory action to remove them.
• No financing contingencies: You must be prepared to buy the property without traditional financing unless you pre-arrange hard money or other non-contingent funds.

It is critical to perform a title search before the sale to check for any liens, unpaid taxes, or legal issues that you may inherit. You should also visit the exterior of the property to evaluate potential risks and consult with a real estate attorney—such as Cooper Law Firm—before bidding.

Buying a Recently Foreclosed Property (Bank-Owned / REO Sale)

Once a property has been foreclosed and not sold at auction, it becomes real estate owned (REO) by the lender. The bank then typically lists the property for sale on the open market with a real estate agent.

What You Should Know:

• More accessible and less risky: Unlike courthouse sales, you can usually inspect the property, obtain title insurance, and even use traditional financing.
• Still sold “as-is”: The bank won’t make repairs or offer warranties. Any needed repairs are your responsibility.
• Bank addenda required: Most REO sales include bank-specific contract addenda that override standard provisions. These often limit your rights or allow the bank to back out for minimal reasons.
• Cleared title: The bank will usually handle lien resolution and ensure you receive a marketable title—though a title exam is still strongly recommended.
• Longer timelines and bureaucracy: REO deals can be slower due to bank red tape. Responses to offers may take days or weeks, and closings can be delayed due to internal bank procedures. 

Key Risks in Both Scenarios

• Unknown Property Condition: Especially at courthouse sales, you're buying blind. Hidden damage, code violations, or structural issues can be expensive to fix.
• Title Issues: Some liens (e.g., tax liens, HOA liens) may survive foreclosure. You could be liable unless they're cleared.
• Occupancy Issues: In both types of sales, you may have to handle evictions, which can take time and involve court proceedings.

Best Practices Before Buying

1. Hire a real estate attorney to conduct a title exam, explain risks, and review auction or REO documents.
2. Conduct a title search and lien check, even if buying through a bank.
3. Set a clear investment budget, including repair and legal costs.
4. If buying at auction, visit the property exterior beforehand and confirm auction terms (timing, payment, bidding).
5. Get preapproved financing (if applicable) or have cash/certified funds ready.
6. Work with an experienced real estate agent for REO properties. 

A seller relocation (also referred to as a relocation sale) is a type of real estate transaction in which the seller’s employer or a third-party relocation company is involved in the sale of the property—typically because the seller is being transferred for work or has accepted a job in a different location. These closings have unique features that buyers, agents, and attorneys in Georgia should understand in order to ensure a smooth transaction.

In a relocation sale, the property is often transferred to a relocation management company (RMC) before it is sold to the ultimate buyer. Alternatively, the RMC may act as an intermediary and facilitate the sale without ever taking title. These arrangements are designed to make the relocation easier for the employee (seller), allowing them to move quickly without waiting for the home to sell on the open market.

How It Works in Georgia

A seller relocation closings may involve two deeds:

1. A deed from the relocated employee (seller) to the relocation company, and
2. A deed from the relocation company to the buyer.  

In some cases, the relocation company will act as the seller directly and sign all closing documents. In others, the seller may still sign the sales contract and disclosures, but the relocation company takes over the transaction once an offer is accepted.

Key Things to Know About Relocation Closings in Georgia

1. Additional Parties and Documentation

You may be working with both the seller’s agent and a relocation coordinator, who must review and approve all offers, amendments, and closing documents. The relocation company often requires special addenda and disclosures that take precedence over standard contracts. These can include:

• A relocation rider or addendum.
• As-is condition acknowledgment.
• Waiver of certain representations by the seller.

2. Seller Has Limited Knowledge

Because the seller may no longer occupy the property—or because the relocation company is the formal seller—they often cannot make full disclosures about the condition of the home. You may receive a Seller’s Disclosure Statement marked “no knowledge”, even though required by custom in Georgia. Buyers should conduct thorough inspections and not rely on disclosures for due diligence.

3. Closing Timelines and Conditions

Relocation companies tend to operate on strict timelines, often with firm closing dates and little flexibility. This can impact your ability to negotiate extensions for financing, repairs, or other contingencies. Expect tighter deadlines and be prepared to close on time to avoid default penalties.

4. As-Is Sales Are Common

Most relocation companies sell properties strictly “as-is”, which means they will not make repairs or agree to post-inspection price reductions. The burden is on the buyer to accept the property’s condition and decide whether to proceed after inspections.

5. Title and Closing Requirements

Because multiple parties are involved, Cooper Law Firm must coordinate carefully with the relocation company’s legal team. Title may briefly vest in the RMC or be conveyed through a limited power of attorney. Cooper Law Firm must:

• Ensure the deed chain is clear.
• Review all relocation addenda and indemnity clauses.
• Confirm who is responsible for transfer taxes, HOA fees, and prorations.

In Georgia, a seller relocation closing involves extra layers of documentation, coordination, and legal review due to the participation of a relocation company acting on behalf of an employer. Buyers should be aware that the seller may not have direct knowledge of the property, and inspections are critical. It’s essential to review all relocation-related documents carefully, meet the required timelines, and work closely with an experienced real estate attorney like Cooper Law Firm to manage title issues and ensure that the closing proceeds smoothly and legally.

A deed in lieu of foreclosure is a legal agreement where a homeowner voluntarily transfers ownership of the property to the lender in exchange for being released from the mortgage. The goal is to avoid foreclosure by surrendering the home and walking away, ideally without owing anything further. However, in Georgia, this arrangement must be agreed upon and accepted by the lender, and not all lenders will agree to it—especially if there are complications like second mortgages, tax liens, or HOA liens.

Key Considerations in Georgia

1. You May Still Be Personally Liable

Contrary to common belief, signing a deed in lieu does not guarantee the lender will forgive the remaining mortgage debt. Unless the agreement explicitly includes a written waiver of deficiency, the lender may still pursue you for the difference between the loan balance and the property’s fair market value at the time of transfer. Georgia law allows lenders to seek a deficiency judgment unless specifically waived in the agreement.

2. It Does Not Remove Other Liens

A deed in lieu only resolves the primary mortgage with the lender you're negotiating with. It does not extinguish other liens on the property, such as:

• IRS or state tax liens
• Homeowners association (HOA) liens
• Second mortgages or home equity lines of credit (HELOCs)
• Mechanic’s liens

The lender may be unwilling to accept a deed in lieu if junior liens exist, because they would inherit those obligations. If they do accept it, those liens may still follow you or remain attached to the property until separately resolved.

3. Impact on Credit and Future Financing

A deed in lieu generally has less negative impact on your credit score than a foreclosure, but it still appears as a serious derogatory item. It may make it difficult to qualify for a new mortgage for 2 to 4 years, depending on the lender and loan type. However, under some circumstances, the waiting period may be shorter than after foreclosure.

4. Lender Approval and Negotiation

You cannot simply sign over your deed and walk away. The lender must approve the deed in lieu, often after reviewing your financial hardship, attempts to sell the property, and confirmation that there are no other encumbrances. You should negotiate terms, such as a deficiency waiver or relocation assistance, and get everything in writing.

When Might a Deed in Lieu Be a Good Option?

• You owe more on the home than it's worth and cannot sell it.
• The lender agrees to release you from further liability in writing.
• There are no junior liens on the property.
• You want to avoid the public record and stress of foreclosure.
• You're not eligible for a short sale or loan modification