When Does the Purchase of a House Become a Public Record?

When Does the Purchase of a House Become a Public Record?

Have you ever wondered if the details of a house purchase become a matter of public record? This is a common question for many when buying or selling real estate. In this article, we will explore exactly what information is recorded, how it is recorded, and what measures you can take to maintain some privacy.

What Information is Recorded in a House Purchase?

When someone buys a house, the transaction is typically a public record. In the United States, property sales are recorded in local county or city offices such as the county clerk or recorder's office. These records include details such as the names of the buyer and seller, the purchase price, and a description of the property.

This information is widely accessible to the public, although the specific process and availability can vary by location. For example, in Georgia, the name of the entity that took title, the mailing address for property tax bills, and the price paid for the property are all publicly available. The current assessed value and the current year's tax bill are also publicly available.

How Do Property Transfers Become Public Records?

When you purchase a piece of real estate, the deed is recorded, making the information contained on the deed public. The process of recording this information is typically carried out at the county level, specifically through the Register of Deeds. In Georgia, the entity that took title, the mailing address for property tax bills, the price paid for the property, the current owner, and the current year's tax bill are all listed publicly.

A mortgage lien or any other type of lien that has been recorded will also appear in the public record. A lis pendens (a legal action impacting the title) will also show up in the records. These records are kept at the county level and can be accessed by anyone who wants to look them up.

Protecting Your Privacy with a Corporate Entity or Trust

While the purchase of a house typically results in public records, there are ways to maintain a certain level of privacy. One effective method is to use a corporate entity or trust to hold the real estate investment assets. In this case, the company or trust's information would be the one appearing in the property tax records, rather than your personal details.

To further protect your privacy, you can use a corporate shield or a shadow company. A corporate shield can provide some protection, making it difficult for others to trace back to the original owner. A shadow company can be set up with a straw man (an individual who takes title in their name under a contract that spells out the rights and responsibilities). This can add an additional layer of privacy, but it may still be possible to trace back to the original owners through due diligence.

Conclusion

The purchase of a house, while typically a matter of public record, can be made more private by using corporate or trust entities. However, it's important to note that even with these measures, some information will still be public. Therefore, it's advisable to consult with a legal professional to understand the best steps for protecting your privacy and assets during a real estate transaction.

Keywords: property records, public records, house purchase