Legal
Power of Attorney
A legal document that authorizes someone else to act on your behalf in financial or legal matters, including signing mortgage documents. If you cannot be present at closing, a power of attorney allows a designated person to sign for you. The document must be specific to the transaction and accepted by the lender and title company. Not all lenders accept power of attorney for closings, so check in advance.
Why It Matters
Power of Attorney has real legal implications for your rights and obligations as a homeowner or borrower. Overlooking the legal details of a real estate transaction can lead to costly problems down the road.
If you have questions about power of attorney, consider consulting a real estate attorney, especially if you are in a state that requires attorney involvement in real estate closings. A small investment in legal advice can prevent major headaches later.