As previously announced, Georgia House Bill 974 adds new recording requirements for security deeds and loan modifications. This act is effective July 1, 2023.
GA HB 974 amends Ga. Code Ann. § 44-14-63(b) to read:
“A deed to secure debt shall not be recorded unless it includes the following information on the first page:
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- The date of the document;
- The names of the signatories of the document;
- The grantee’s mailing address;
- Map and parcel identification information, if applicable;
- The original loan amount or the amount of any outstanding principal and additional advance pursuant to a loan modification;
- The initial maturity date or dates for such debt;
- The amount, if any, of the intangible recording tax imposed on such deed to secure debt;
- The amount, if any, of the intangible recording tax imposed for an additional advance pursuant to a security deed modification agreement or other additional advance secured by a security deed; and
- If no intangible tax is imposed, a citation to the authority providing for an exemption of such tax.”
To comply with these recording requirements, on the first page of Georgia Security Deeds and Loan Modifications, seven (7) fields (with the exception of the Map Identification Number (MIN) and the Parcel Identification Number (PIN) fields) will now print in a new lefthand column beside the existing righthand column which contains fields for Borrower Last Name, Loan Number, Universal Loan Identifier, Servicing Loan Number, PIN, MIN, and FHA/VA Case Number.
The lefthand column fields are:
Document Date:
Fl 678 – Closing Date
Names of Signatories:
Fl 174652 – Calculated Security Instrument Signing Parties
Grantee’s Mailing Address:
Fl 15358 – Lender Mailing Address [Full] (The MERS address is hardcoded for the MERS security deed.)
Loan Amount/Credit Limit/Unpaid Principal Balance:
Fl 1058 – Loan Amount (The label “Credit Limit” appears on the HELOC security deed and “Unpaid Principal Balance” on loan modification agreements.)
Maturity Date:
Fl 266 – Balloon Maturity date (For balloon loans.)
Fl 538 – Construction loan maturity date (For construction only loans.)
Fl 15368 – Maturity Date
Intangible Recording Tax Amount/Advance/Exemption:
Fl 48389 – Total Intangible Recording Tax Due
Fl 175214 – Intangible Recording Tax Additional Advance (Only prints on loan modification agreements, and only if populated. Otherwise the Total Intangible Recording Tax Due will print when none of the exemptions are set.)
Fl 175215 – Exempt Government Party Per 560-11-8.14(a)
Fl 175216 – Exempt Credit Union or Church Per 560-11-8.14(b)
Fl 175217 – Exempt Correction Per 560-11-8.14(c)
Fl 175218 – Exempt Non-Note Per 560-11-8.14(d)
Fl 175219 – Exempt Assignment of Exempt Note Per 560-11-8.14(e)
Fl 175220 – Exempt Chapter 11 Bankruptcy Per 560-11-8.14(f)
If values are contained in Fl 48389 – Total Intangible Recording Tax Due or Fl 175214 – Intangible Recording Tax Additional Advance, the amount will print. If “Yes” is selected for any of the new exemption fields, “Exempt from fee per {citation number}” will print instead.
The following are descriptions of the new fields that have been created:
Fl 175214 Intangible Recording Tax Additional Advance
Currency
Description: The amount, if any, of the intangible recording tax imposed for an additional advance pursuant to a security deed modification agreement or other additional advance secured by a security deed.
Fl 175215 Georgia Intangible Recording Tax – Exempt Government Party Per 560-11-8.14(a)
Yes = 1, No = 2
Description: Triggers corresponding citation on Georgia Security Deed for “Intangible Recording Tax:” in place of tax amount when set to “Yes”. Applicable when exempt from fee per Ga. Comp. R. & Regs. 560-11-8.14(a) where any of the following is a party: The United States, the State of Georgia, any agency, board, commission, department or political subdivision of either the United States or this state, any public authority, any non-profit public corporation, or any other publicly held entity sponsored by the government of the United States or this state.
Fl 175216 Georgia Intangible Recording Tax – Exempt Credit Union or Church Per 560-11-8.14(b)
Yes = 1, No = 2
Description: Triggers corresponding citation on Georgia Security Deed for “Intangible Recording Tax:” in place of tax amount when set to “Yes”. Applicable when exempt from fee per Ga. Comp. R. & Regs. 560-11-8.14(b) where any of the following is Grantee: a federal credit union, a state of Georgia chartered credit union, or a church.
Fl 175217 Georgia Intangible Recording Tax – Exempt Correction Per 560-11-8.14(c)
Yes = 1, No = 2
Description: Triggers corresponding citation on Georgia Security Deed for “Intangible Recording Tax:” in place of tax amount when set to “Yes”. Applicable when exempt from fee per Ga. Comp. R. & Regs. 560-11-8.14(c) where the instrument is given as additional security, to correct a previously recorded instrument, or to substitute real estate; provided the body of the new instrument identifies the existing instrument and specifically states the purpose of the new instrument.
Fl 175218 Georgia Intangible Recording Tax – Exempt Non-Note Per 560-11-8.14(d)
Yes = 1, No = 2
Description: Triggers corresponding citation on Georgia Security Deed for “Intangible Recording Tax:” in place of tax amount when set to “Yes”. Applicable when exempt from fee per Ga. Comp. R. & Regs. 560-11-8.14(d) where the instrument does not secure a note, (e.g., guaranty agreement; bail bond; performance agreement; bond issue; indemnity agreement; divorce decree; letter of credit).
Fl 175219 Georgia Intangible Recording Tax – Exempt Assignment of Exempt Note Per 560-11-8.14(e)
Yes = 1, No = 2
Description: Triggers corresponding citation on Georgia Security Deed for “Intangible Recording Tax:” in place of tax amount when set to “Yes”. Applicable when exempt from fee per Ga. Comp. R. & Regs. 560-11-8.14(e) in the case of a transfer or assignment, where the original note or the holder of the original note was exempt.
Fl 175220 Georgia Intangible Recording Tax – Exempt Chapter 11 Bankruptcy Per 560-11-8.14(f)
Yes = 1, No = 2
Description: Triggers corresponding citation on Georgia Security Deed for “Intangible Recording Tax:” in place of tax amount when set to “Yes”. Applicable when exempt from fee per Ga. Comp. R. & Regs. 560-11-8.14(f) where the instrument is recorded pursuant to a plan of reorganization confirmed under Chapter II of the U.S. Code and where the instrument is accompanied by documentation verifying confirmation of the plan of reorganization.
Consequently, the following documents have been updated:
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- Cx25289 – 3011 GA Security Deed 2021
- Cx19368 – FHA GA Security Deed
- Cx477 – GA Deed of Trust Second
- Cx1406 – HELOC Security Deed – GA
- Cx1701 – Loan Modification Agreement – Fixed
- Cx4888 – Loan Modification Agreement – ARM
- Cx10514 – Loan Modification Agreement – ARM
- Cx10515 – Loan Modification Agreement – Fixed
Effective Date
The new recording fields and updated documents are available on UAT for testing. These changes will be on Stage 1 and Stage 2 for testing June 5, 2023, and in effect on Production on June 10, 2023. If you have any questions or concerns about these changes, please contact Client Support at 1.800.497.3584.
LEG-675
DR-142325