Power of Attorney

A power of attorney (POA) is a legal document that gives one person or entity, the agent or attorney-in-fact, authority to act for another, the principal, on legal, financial, or real estate matters. In a property deal, a POA can step in when an owner cannot be there in person to sign closing documents.

A POA used in a real estate transaction has to be drafted with care, and it is often notarized and recorded along with the transaction documents. A durable POA stays in force even if the principal becomes incapacitated, while a limited POA is confined to a specific transaction or a set period.