Financial

Selling Property

After mom moved out of her condo, I had to pack up all of her belongings (of which she had alot) and then prepare to sell the condo.  When speaking to a real estate agent, one of the first things I learned was that I needed a power of attorney in order to even begin the process.  Since mom was mostly blind, constantly ill from UTIs and not in a position to meet and speak with realtors, I needed to be her representative.

I had to work with mom in order to get a "Power of Attorney Specific" document notarized.  This document granted me the limited power to sell her condo. I did not give me any other authority.  Later, I did sign a Durable Power of Attorney which gave me control over all of mom's affairs.

In any case, if your loved one is not in a position now or in the future to sell property or manage other financial or healthcare affairs, reviewing your POA options is strongly recommended.  For me, mom agreed to almost everything I proposed.  But your situation may be different if you have other family members who want to be involved in the decision making.

A power of attorney (POA) for real estate is a legal document that grants one person (the "agent" or "attorney-in-fact") the authority to act on behalf of another person (the "principal") in matters related to real estate transactions. This type of POA is typically limited to specific actions concerning real estate and can be as broad or as narrow as the principal wishes.

Other POA's can include:

  • General Power of Attorney: Grants broad authority to manage all aspects of the principal's real estate and financial matters.
  • Limited Power of Attorney: Restricts the agent’s authority to a specific transaction or property. For example, the agent may only have the power to sell one particular house on behalf of the principal.
  • Durable Power of Attorney: Remains in effect even if the principal becomes incapacitated.
  • Springing Power of Attorney: Comes into effect only when certain conditions are met, such as the principal becoming incapacitated or being unavailable (e.g., deployed overseas).
  • Medical (or Healthcare) Power of Attorney:  Allows the agent to make medical and healthcare-related decisions for the principal, including treatment choices, surgery decisions, or life-support preferences.
  • Financial Power of Attorney:  A specific POA focused solely on financial matters, including managing bank accounts, filing taxes, handling investments, or selling assets.

 

Each POA can be customized to fit the specific needs and circumstances of the principal, so it's important to consult with an attorney when drafting one to ensure all contingencies are addressed.