What to verify before giving POA to someone
Power of attorney (POA) helps NRIs to appoint a person who handles the buying of a house from overseas or the selling of land. It is important to know what POA stands for and what makes one legally valid to use.
When can a power of attorney be used?
A POA can be used if:
- The buyer is an NRI and is unable to come to India for transaction purposes.
- If the buyer is in a bedridden state and cannot travel.
- If the buyer has a valid reason and cannot execute the transaction.
Why is a POA Important?
When dealing with a POA for property, the document enables:
- Property buying or sale
- Signing of agreements
- Getting rental income
- Handling the home loan formalities
This becomes useful for NRIs who are living outside their city.
What to verify before giving a POA to someone
One of the most important steps is that property-related POAs must be registered at the Sub-Registrar's Office. Both the principal and the agent details must be verified. Then, stamp duty must be paid as per state laws.
Required Documents for POA
The documents that need to be verified are:
- Identity proof of the buyer and the agent
- Stamp papers
- Witness signatures
- Address proof of the buyer
- Passport-size photos
- Drafted POA deed
For NRIs, attestation by the Indian Embassy is needed if the POA is abroad.
Types of POA
| Type of POA | Usage |
| General POA | Grants broad rights over sale, and lease |
| Special POA | Grants authority for a single defined act |
| Registered POA | Legally recognized |
| Notarized POA | For minor authority |
If NRIs wish to invest in luxury properties like Prestige Golden Grove in Hyderabad, Prestige Group helps people handle all the paperwork and legal stuff easily. They also handle everything when it comes to property deals that involve a POA. If you are managing your investments from far away as an NRI, having the right POA in place makes everything a smooth process.
Conclusion
If you are thinking about buying or selling any property as an NRI, you need to know what the power of attorney is and how it works. Before you sign anything, check the POA cost and make sure the document holds up in your state. When your POA is registered, your property deals move along easily, and your rights will stay protected.
Frequently Asked Questions
1.Can multiple POAs be appointed?
Yes, a person can have multiple POAs and also decide whether all of them should work together or separately.
2.Is a POA legal after the death of the person who granted it?
If the individual who has granted the POA dies, then the POA is null and void. The rights extend only to what is clear in the guarantor’s will.
3.Can you use the POA for leasing any property?
If you want to limit the power given to POA, then one has to use the Special Power of Attorney (SPOA) and not any POA. The SPOA defines the rights from the beginning of the rent agreement to the collection of the rent amount.
