FAQ — How to find out exactly where the sale proceeds from my dad’s house will go (Georgia)

Short answer: It depends on how title to the house is held and whether the house is part of a probate estate or a trust. The sale proceeds will first pay mortgages, liens, taxes, and administration costs. Any remaining money goes to whoever owns the property (the surviving joint owner, the trust, the estate to be distributed to heirs under the will or by Georgia law). This article explains how to confirm exactly where the money must go under Georgia law and the practical steps to find out.

Detailed answer

1) Identify how title was held

Start by finding the deed and the chain of title at the county where the property sits (county superior court clerk/registrar of deeds). How ownership is titled determines the route for proceeds:

• Sole ownership (in your dad’s name only): The house is probably part of his probate estate. A personal representative (executor or administrator) handles sale and distribution under Georgia probate law.
• Joint tenants with right of survivorship or tenancy by the entirety: The surviving co-owner automatically owns the house. Sale proceeds belong to the surviving owner subject to any liens.
• Property in a revocable trust: The trustee follows the trust terms and distributes proceeds per the trust—probate is usually avoided.
• Transfer-on-death/beneficiary deed: If a beneficiary is named on a TOD deed (if used in Georgia), the named beneficiary takes title at the owner’s death without probate.
• Life estate: The life tenant may have the right to use the property during life; a remainder interest may belong to others who receive proceeds or title according to the instrument.

2) If the property is in probate

When a decedent owns property individually and it must go through probate, the personal representative manages the sale and distribution. Typical order of payments from sale proceeds in a probate sale:

1. Pay closing and sale costs (real estate commission, closing fees).
2. Pay mortgages and secured liens (bank loans, home equity loans).
3. Pay property taxes and tax liens.
4. Pay funeral costs, administration expenses, and court-approved attorney fees.
5. Pay creditor claims that are allowed under Georgia’s probate claims process.
6. Distribute the balance to beneficiaries under the will. If no valid will, distribute under Georgia’s intestacy rules (statutory heirs).

Georgia’s probate and estate rules are in the Official Code of Georgia Annotated (OCGA), Title 53 (Wills, Trusts, and Administration of Estates). For general reference to the Georgia Code, see the OCGA landing page: https://www.legis.ga.gov/legislation/ocga. For local court procedures and how to find filings, see Georgia’s probate courts page: https://georgia.gov/courts/probate-courts.

3) Common non-probate routes (no probate required)

These avoid probate and send proceeds directly to the listed owner or beneficiary:

• Joint owner with right of survivorship gets the property automatically and receives sale proceeds at closing.
• Trust-owned property: trustee sells and distributes according to the trust terms.
• Transfer-on-death/beneficiary deed or other recorded beneficiary designation transfers title to the named person without probate (if Georgia recognizes the instrument used).

4) Liens and taxes that must be paid from proceeds

Before distribution, closing typically pays off:

• Mortgages and home-equity loans.
• Judgment liens and recorded mechanic’s liens against the property.
• Property taxes and any tax liens (federal or state).
• Administration costs if the sale occurs in probate.

To look for liens and mortgage information, obtain a preliminary title report from a title company or search recorded documents at the county recorder/registrar.

5) How you can confirm exactly where the money will go — step‑by‑step practical checklist

1. Obtain a certified copy of the death certificate. Many parties (title company, bank, county clerk) will require it.
2. Check the deed and recording history. Go to the county recorder/registrar or online county records to view the deed. This shows whether title was sole, joint, or placed in a trust.
3. Ask the personal representative, trustee, or surviving co-owner for documentation. If someone is acting as executor or trustee, they should produce letters testamentary/letters of administration or trust documents and provide an accounting of the sale.
4. Order a title search or preliminary title report. A title company will list mortgages, tax liens, judgment liens, easements, and any other recorded encumbrances that must be paid from proceeds.
5. Look for a will or trust. If there is a will, the probate court file lists the personal representative and often the inventory and proposed distributions. If a trust exists, the trustee controls distribution under the trust document.
6. Search probate court records. If the estate is in probate, filings are public. Look for petitions for letters, inventory, creditor notices, and final accountings at the county probate court. See: Georgia probate courts.
7. Request a payoff statement from the mortgage holder and any lienholders. This shows amounts that will be deducted at closing.
8. Ask the closing/title company for a settlement statement. The HUD-1 or Closing Disclosure itemizes payoffs, liens, commissions, and net distribution recipients.
9. If unclear or contested, consult a probate attorney. You can file a petition asking the probate court to approve distribution or to compel accounting if the personal representative is not forthcoming.

6) If you’re being told different answers or you suspect money is being withheld improperly

You may request a court-ordered accounting from the personal representative or trustee. Georgia law requires that the personal representative or trustee act in good faith and provide proper accountings; if they do not, beneficiaries and heirs can ask the probate court to intervene. For guidance on how to access court filings and rules, start at the Georgia probate courts resource: https://georgia.gov/courts/probate-courts.

Helpful Hints

• Get a copy of the deed immediately from the county recorder — that one document answers many ownership questions.
• Ask the title company for a preliminary title report before sale — it reveals exactly what liens or mortgages must be paid from proceeds.
• If someone is handling the estate, ask for a copy of letters testamentary or letters of administration; those documents confirm who has authority to sell.
• Request the closing/settlement statement before distribution — that shows payoffs and net proceeds and who gets the money.
• Search probate court records online or in person for the estate case number, will, inventory, and accounting filings.
• Keep copies of all communications and written statements about the sale and distributions.
• If you suspect improper conduct or missing funds, talk to a probate attorney promptly; statutes and court rules can create short deadlines to object or file claims.
• Remember that federal tax issues (e.g., estate tax, capital gains) can affect net proceeds; consult a tax advisor if large amounts are involved.

Where to find official Georgia law and local records

• Official Code of Georgia Annotated (OCGA) — general index and statutes: https://www.legis.ga.gov/legislation/ocga (see Title 53 — Wills, Trusts, and Administration of Estates).
• Georgia probate courts information and how to find local probate courts: https://georgia.gov/courts/probate-courts.
• Georgia Department of Revenue — for questions about state tax obligations: https://dor.georgia.gov/.

When to consider getting a lawyer

Talk to a Georgia probate or trust attorney if any of the following apply:

• Title status is unclear or documents conflict (e.g., will vs. deed vs. trust).
• The personal representative or trustee refuses to provide an accounting or refuses to pay valid liens.
• There are creditor claims, tax liens, or complicated debts.
• You believe the sale or distribution was unfair or in breach of fiduciary duties.

Disclaimer: I am not a lawyer and this is not legal advice. This article provides general information about Georgia law to help you understand common paths for distribution of sale proceeds. For advice about your specific situation, consult a licensed Georgia attorney who can review your documents and court filings.