The Closing Process
LIENS NOT RECORDED AT THE COURTHOUSE
We perform a title search for every refinance or purchase closing. There was a time when someone searching titles could get all the needed information at the courthouse. That time has passed. Deeds, mortgages, and most liens are still recorded in the real estate records at the courthouse, but several other items also need to be checked before closing. Everyone knows to check property taxes, but what about other property charges?
Many municipalities in Georgia have ordinances that create liens on the property for unpaid water bills. There is no public index or record of water bills to search. Each county or city providing water service has its own process for getting the water bill. The City of Atlanta charges $10 per property to provide a water bill and accepts requests on-line. Dekalb County does not charge anything and accepts requests through e-mail.
OCGA § 36-60-17 was amended in 2016 to allow water-provider to charge up to $10 to provide water bill information. The same Code states that water-providers have 10 business days to provide a bill and payoff amount. Most providers provide the statement much quicker. The payoff amount is good for thirty days and once paid, extinguishes any lien rights. In order for a water bill to be a lien on residential property, the water charges must be incurred by the property owner.
Georgia Department of Revenue liens are another lien that is not recorded at the courthouse anymore. Effective January 1, 2018, the Georgia Department of Revenue has a separate statewide index for its liens that is only available on-line. The lien index can be accessed through the GSCCCA at: http://search.gsccca.org/LienSearch/StateTaxLienSearch.aspx
or through the Department of Revenue’s web site at: https://gtc.dor.ga.gov/_/#2
It was less time consuming and easier to check everything at the courthouse, but those days are over. After searching the courthouse records, we must get property taxes, request water bills, and search for Georgia Department of Revenue liens on-line.
PROTECT YOUR MONEY FROM WIRE FRAUD SCHEMES DURING CLOSING
Sending an e-mail is like mailing a post card. Unless it is encrypted, there are ways other people can read the message and see what is in it. Even though e-mail is easy, it also has its dangers. Anyone in the world can try to read it, and even change what was written.
Criminals who specialize in fraud have taken notice. Fraudsters can mimic an e-mail address or domain trying to trick people into wiring funds to the wrong account. An unsuspecting buyer can get an e-mail that looks like it is from an attorney or real estate agent with instructions on sending their funds to the closing attorney. Can you tell the difference between ‘lawfirm.com’ and ‘lawfirrn.com’? These are two different domains. One is ‘L A W F I R M . C O M’ and the other is ‘L A W F I R R N . C O M’. People read e-mails fast and it is impossible to catch subtle differences in the spelling like this.
Technology has made it simple to create professional looking documents. The drawback is that it also makes it easy for the fraudsters to create similar looking documents and instructions. Even a fax or encrypted e-mail may be dangerous because criminals can also fax and send encrypted e-mails. ALTA has created a short video to show how this scam works.