Most sellers sign their own paperwork. Not everyone can.
If you're managing the sale of a parent's home while they're in memory care, or you've been named agent for a sibling who lives out of state, you're not signing as yourself — you're signing under a power of attorney. In Pennsylvania, that distinction matters more than most people realize, and getting it wrong can delay or derail the whole transaction.
Here's what tends to trip families up, and what you actually need to know before you list.
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What a Power of Attorney Actually Is
A power of attorney — POA for short — is a legal document where one person (the principal) authorizes another person (the agent, sometimes called the attorney-in-fact) to act on their behalf. In a real estate sale, this means the agent can sign contracts, negotiate terms, and show up at the closing table in place of the seller.
POAs come in different forms. A durable power of attorney stays valid even if the principal becomes incapacitated — this is the type most commonly used when an adult child is managing a parent's affairs. A limited or special POA covers only a specific transaction. Pennsylvania law has requirements for how each must be created and executed, which is why I always tell clients to have an attorney prepare or review the document before we go anywhere near a listing agreement.
The agent is not the owner. That's the part people sometimes blur. The property still belongs to the principal. The agent just has the legal authority to act on their behalf for the purpose of the sale.
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The Seller's Property Disclosure: Where POA Gets Complicated
In Pennsylvania, sellers are required to complete a Seller's Property Disclosure (SPD) — a form that discloses known defects and conditions of the property. Buyers rely on this form when deciding whether to make an offer and what inspections to order.
Here's the wrinkle: when a POA is being used, the agent signing the disclosure may not have the same firsthand knowledge of the property that the principal does. Maybe the parent lived in the house for 30 years and you visited a handful of times. Maybe the property was a rental and the actual owner lives two states away.
Pennsylvania law accounts for this. There are specific exemptions in the SPD statute — but they don't all apply to POA situations the same way. One common misconception is that acting under a power of attorney automatically exempts you from completing the full disclosure. It doesn't. The exemptions that exist under the Real Estate Seller Disclosure Law are tied to how the property is being transferred, not just who is signing.
For example, transfers made by a fiduciary in the administration of a decedent's estate — meaning the person has already passed — may qualify for a disclosure exemption. But if the principal is still living and you're acting as their POA agent, that estate exemption does not apply. You are stepping into the seller's shoes, and the disclosure obligation comes with them.
What this means practically: the agent should complete the SPD to the best of their actual knowledge, note where their knowledge is limited, and be honest about it. Misrepresenting a condition — even through omission — creates legal exposure for both the agent and the principal.
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What Buyers Need to Know (and What You Owe Them)
Buyers will know they're dealing with a POA transaction: the listing documents and the agreement of sale will reflect that the seller is acting through an agent. Most buyers' agents will flag this and confirm the POA is valid before their client signs anything.
A well-prepared POA transaction isn't a red flag to buyers — a poorly documented one is. If the POA document is missing, expired, or doesn't specifically authorize real estate transactions, title companies will often refuse to insure the deal, and lenders will pump the brakes. No title insurance means no mortgage for the buyer, and no closing for anyone.
Sales go smoothly when the family has the paperwork in order from day one. They stall when someone assumes an old, general POA is still sufficient without having it checked. Assumptions are expensive.
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Common Situations Where POA Comes Up
- Aging parent's home: A parent with dementia or declining health has granted you durable POA. You're now managing their affairs, including selling the family house.
- Out-of-state owner: The principal can't travel to Pennsylvania for the closing and needs someone local — or at least accessible — to sign on their behalf.
- Military deployment: A service member grants a spouse or family member POA to handle a sale while they're overseas.
- Illness or injury: The seller is temporarily incapacitated and has a durable POA in place from before the condition arose.
Each of these is legitimate. Each requires documentation. And each carries responsibilities under Pennsylvania's disclosure law that don't disappear just because you're signing someone else's name.
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What About Estate Sales?
I want to separate this clearly because it comes up constantly. If the property owner has passed away, you're no longer dealing with a power of attorney — a POA ends at death. Instead, the estate is handled by an executor (if there's a will) or an administrator (if there isn't). That's a different legal framework entirely.
Estate sales do have different disclosure rules under Pennsylvania law, and the executor or administrator acts under letters issued by the county Register of Wills, not a POA document. If you're in this situation, an estate attorney is not optional. Neither is coordination with your real estate agent early in the process — before anything is listed — so the paperwork is right when an offer comes in.
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What to Do This Week
If you're preparing to sell a property through power of attorney in Pennsylvania, here are concrete steps to take right now:
- Pull out the POA document and read it. Confirm it's durable (if the principal is incapacitated), that it hasn't expired, and that it specifically authorizes real estate transactions. If it's vague or old, talk to an attorney before proceeding.
- Consult a Pennsylvania real estate attorney. This is not a step to skip. POA requirements, disclosure obligations, and title requirements all intersect here. A one-hour consultation now can prevent a three-week delay at closing.
- Talk to a title company early. Title companies have specific requirements for POA transactions. Ask what they'll need to insure the sale before you're under contract.
- Be honest on the Seller's Property Disclosure. Fill it out to the best of your actual knowledge. Note clearly where your knowledge is limited. Don't guess or assume.
- Loop in your real estate agent before you list. Your agent needs to know a POA is involved from the start — not the week before closing. It affects how the listing is structured and what documentation needs to be ready.
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Families in this situation are often already overwhelmed — managing a parent's care, sorting through decades of belongings, and trying to understand a process they've never dealt with before. Adding a legal wrinkle like POA on top of that can feel like too much.
It doesn't have to be. When you have the right people in place — an attorney, a title company, and a real estate agent who's dealt with this before — a POA sale moves the same way any other sale does. It just requires a little more preparation up front.
If you're in that situation and want to talk through the process, I'm at (484) 641-2641 or reachable through the contact form.
