Liens don’t have to kill your sale—but you do need a plan. In Georgia, closings are handled by a licensed real-estate attorney, and that attorney (and the title insurer) will require most liens to be satisfied, released, discharged, or bonded off before they’ll insure and record your transfer. Selling to Middle Georgia Cash Homes can streamline this because we order title early, coordinate payoff letters, and (if the numbers work) pay valid liens from your proceeds at closing. Atlanta GA Estate Planning+1
Step 1: Confirm exactly what is on title
Order a title search right away (your closing attorney or a direct buyer can do this). Common lien types:
- Property tax liens – top priority in GA; they’re paid before other liens. Justia Law
- Mortgage/Security Deed payoff – Georgia uses a security deed (not a “mortgage”); the lender must issue a release after payoff. Cherokeecourtclerk+1
- Mechanic’s/Materialman’s (contractor) liens – often filed within 90 days of last work; claimant has 365 days from filing to sue and perfect. levelset.com+1
- Judgment liens (fi. fa.) – attach when recorded on the county’s execution docket; generally go dormant after 7 years if not enforced. Justia Law+1
- HOA/Condo assessment liens – created by statute/Docs; your HOA will issue a payoff/estoppel. (Fees apply.)
Why this matters: Title and the buyer’s attorney won’t close (or insure) until these are cleared or properly handled. bandklaw.com+1
Step 2: Get written payoffs and your net
Ask each lienholder for a dated payoff letter good through your target close date (include per-diem). Your attorney will build a net sheet:
Expected Sale Price
− Property taxes (and penalties/interest if any)
− Security deed/mortgage payoff(s)
− HOA, judgments, contractor liens (as applicable)
− Closing costs (attorney/title, recording, prorations)
= Your estimated proceeds (or shortfall)
If liens exceed your equity, you still have paths—see Step 4.
Step 3: Choose the cleanest clearance method
Most Georgia sales clear liens in one of these ways:
- Pay at closing from proceeds – the attorney wires funds to lienholders; releases are recorded. (Lenders are obligated to cancel a satisfied security deed within 60 days.) Department of Banking and Finance
- Negotiate/settle – some judgment or contractor liens will discount for quick payment.
- Bond off a contractor lien – post a bond to discharge (often 2× the lien; equal to lien if it’s your primary residence). The bond replaces the lien so the property can transfer while the dispute is resolved. Justia Law+1
Step 4: Special case—IRS federal tax liens
You can sell with an IRS lien, but you must satisfy or get a discharge/subordination:
- If you have equity, the IRS is usually paid from sale proceeds at closing. IRS
- If the sale price won’t fully cover the lien, apply for a Certificate of Discharge (Form 14135) so title can transfer free of the lien; the IRS may take all net proceeds into escrow. IRS+2IRS+2
Tip: Start IRS paperwork early—your closing attorney can coordinate the package.
Step 5: Prep your paperwork (what the attorney will ask for)
- Photo ID and payoff info (loan numbers, servicer contacts)
- Tax payoff/delinquency details if applicable (counties have strict priority). Justia Law
- HOA/condo estoppel letter (dues, violations, transfer fees)
- For contractor liens: invoices, contracts, proof of payment, or your bond documents. atlantatitleco.com
- Any judgment case info (case #, county, creditor’s counsel)
Step 6: Close with a Georgia attorney (and get proof of release)
Georgia is an attorney-closing state. Your closing attorney will:
- Verify title is insurable, collect payoff letters, and disburse funds to lienholders at the table;
- Record the deed and obtain/track lien releases (security deed cancellations, satisfaction of judgment, cancellation of contractor lien or filing of discharge bond);
- Deliver your final owner’s title policy (if issued). Atlanta GA Estate Planning+2Dover Miller Law+2
Can a cash buyer just “take over” my liens?
Usually no—not if the buyer wants insurable, marketable title. Title insurers and closing attorneys require liens to be cleared, paid, discharged, or bonded off before issuing a policy. There are niche “subject-to” scenarios, but they complicate resale and insurance and aren’t typical. bandklaw.com+1
How Middle Georgia Cash Homes helps sellers with liens in Georgia
- Order title early and identify every lien up front
- Coordinate payoffs and negotiations (when appropriate)
- Fund valid liens at closing from sale proceeds (or structure a plan if equity is tight)
- Handle special cases like IRS discharges or contractor-lien bonds with your attorney
- Close on your timeline—no showings, no repairs, as-is
Quick FAQ
Do property tax liens have to be paid first?
Yes. Georgia statutes give tax liens super-priority over other liens. Justia Law
What’s the timeline for contractor (mechanic’s) liens?
File within 90 days of last work; sue within 365 days of filing to keep it alive. levelset.com+1
How long do judgment liens last?
A recorded judgment typically becomes dormant after 7 years if not enforced/renewed. Justia Law
Why an attorney instead of a title company?
In Georgia, a licensed attorney must conduct/supervise real-estate closings—this is required by law and ethics rules. Atlanta GA Estate Planning+1
Bottom line
Liens are solvable—with a plan and the right team. Identify them early, get payoffs in writing, choose the correct clearance method (pay, settle, discharge, or bond), and let a Georgia closing attorney handle funds and filings. If you’d rather skip the back-and-forth, Middle Georgia Cash Homes can purchase your home as-is and coordinate lien clearance at closing so you can move forward.
Want a no-obligation plan for your situation? Call/Text 478-216-1795 or fill out the short form on this page to see your numbers and timeline from Middle Georgia Cash Homes.
Sources (for your peace of mind)
- Attorney closings (GA requirement): State ethics and practice guidance—Georgia closings must be performed/supervised by a licensed attorney. Atlanta GA Estate Planning+1
- Tax lien priority: GA Code § 48-2-56 (tax liens superior to all others). Justia Law
- Security deed/payoff & cancellation: GA Dept. of Banking & Finance; county clerk guidance. Department of Banking and Finance+1
- Mechanic’s lien deadlines: 90-day filing; 365-day suit to perfect. GA Code § 44-14-361.1; practice FAQs. Justia Law+1
- Judgment lien dormancy: GA Code § 9-12-60. Justia Law
- Bond to discharge contractor lien: GA Code § 44-14-364. Justia Law
- IRS lien discharge/subordination: IRS Pub 783 & Form 14135; IRS guidance (2025). IRS+3IRS+3IRS+3