Be Careful When Selling with a POA

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With an aging Baby Boom population, we’re seeing more and more real estate deals involving Powers of Attorney (POAs).

But as a Realtor, you need to keep this in mind…

Just because a POA exists doesn’t mean a lawyer will close on it.

Lawyers have a responsibility to verify a POA before allowing it to be used in a real estate transaction. This includes:

• Obtaining an original copy of the POA
• Confirming the details of its intended use
• Understanding the financial consequences of the transaction
• Ensuring the Attorney (the appointed representative) is acting within their rights

If the real estate lawyer did not draft the original POA, answering these questions requires extra effort—and carries additional risk.

And because of this, many lawyers will refuse to act on a POA unless it was drafted by another lawyer who can confirm its validity.

This means that if a seller is relying on a self-drafted POA or one created through an online service, they may have trouble finding a lawyer willing to close the deal, even if the document is technically legal.

Best Practices

To prevent last-minute closing issues and delays, here’s how you can get ahead of the problem:

✅ Ask your client early – Find out who drafted the POA and how it was created.

✅ Get the POA reviewed – Don’t wait until closing; get a lawyer to check it before listing or signing an APS.

✅ Remember: “Legal” doesn’t mean “usable” – Some POAs won’t meet the lawyer's verification standards for closing.

🚨 Bottom Line: If your client is using a POA, don’t wait until closing to sort it out. The earlier it’s reviewed, the smoother the transaction will be.

Have questions about a POA in a real estate deal?

Reach out—I’m happy to help.