Many a person may find it worthwhile to invest in a home in Georgia and go for a mortgage loan in this Peach State. The information below is intended to help such mortgage seekers in making a wise decision.

In Georgia State, the mortgage laws and mortgage transactions and lending practices are all regulated by Georgia State Code [Title 44, Chapter 14, Section 4(44-14-4)].

• Georgia Fair Lending Act (GFLA) is the anti-predatory lending law in the state having the greatest reach. It is especially designed to offer protection from lenders making loans which are not quite repayable.The elderly, poor and simple borrowers who may be quite ignorant of mortgages receive protection under this law.
  
  
• The Mortgage Division of Georgia, Department of Banking and Finance is the authority regulating the Georgia State Mortgage Broker Licensing. It oversees that all citizens of Georgia have access to worthy mortgage service providers. Brokers originating loans secured by residential property in Georgia have to be licensed.
  
  
• Mortgage Bankers Association of Georgia is a trade association committed to the preservation and improvement of the mortgage banking in Georgia. It comprises of mortgage lenders, brokers and affiliated associates of the industry.
  
  
• In this state, both in-court and out-of-court foreclosure proceedings are available. Out-of-court foreclosure may be completed within two months.
  
  
• In case of default the lenders can foreclose on deeds of trust or mortgages using either judicial or non-judicial foreclosure processes.
  Judicial process of foreclosure involves filing of a lawsuit in order for foreclosing on deeds of trust/mortgage. It is used when there is no "power of sale" in the mortgage or deed of trust. In general, when the court declares a foreclosure the property is auctioneered to the highest bidder.
  
  Non-judicial foreclosure process comes into use when the pre-authorizing 'power of sale' clause is present in a mortgage/deed of trust. By this clause the borrower pre-authorizes the sale of the property for paying out balance on a loan in case of their default. The power vested in the lender for selling the property by the "power of sale" can be effected by the lender or a representative of the lender - the trustee. The regulations for this non-judicial foreclosure process are outlined in the "Power of Sale Foreclosure Guidelines."
  
  These guidelines mention that in case the deed of trust or mortgage does not have a 'power of sale' clause and particularly gives the time, place and terms of sale, then the procedure specified is to be followed. Otherwise, the non-judicial power of sale foreclosure is to be carried out by the following procedure:
  1. A notice of foreclosure has to be mailed by certified mail and return receipt requested to the borrower at least 15 days before the foreclosure sale date. This time period starts from the day the letter is postmarked. This notice has to be mailed to the borrower's address as given to the lender by written notice by the borrower. There is no validity of any waiver or release of the rights to notice in case the notice was signed at the same time as that of the original documents. This concerned notice has to be published in a newspaper of general circulation in the county where the sale is to be held. This has to be done once a week for four weeks preceding the foreclosure sale date.
  2. The first Tuesday of the month is the chosen date for the sale which has to be made by public auction. It should be made between 10.00 a.m. and 4.00 p.m. at the courthouse premises.
     
     
• Deficiency judgments can be sought by lenders.
  
  
• There is right to redemption of the borrower.