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AIBU?

Share your dilemmas and get honest opinions from other Mumsnetters.

buying a house that has power attorney

87 replies

Lavenderflower · 15/02/2025 16:08

Does anyone have experience, advice or thoughts?

OP posts:
Amba1998 · 16/02/2025 07:24

Lavenderflower · 15/02/2025 16:15

I viewed a house today. The estate agent told me the seller had died but the property is being managed by power of attorney. The family will get the proceeds of the sale. The house has two failed sales. It was previously a HMO property.

Probate then, not POA.

done it twice as we’ve renovated quite abit. No issue.

ApolloandDaphne · 16/02/2025 07:23

If it is POA and the owners are still alive it will probable be straightforward too. We sold my FILs house when he went into a care home and it was no problem at all.

ItShouldntHappenToMeYet · 16/02/2025 07:19

The person with the POA can sell a property on behalf of the owner when they no longer have capacity. This money will be for care home fees or similar.
So yes a property can be sold by a POA. It doesn't mean op is incorrect, or that it's a probate issue.

Mountainpika · 16/02/2025 07:18

I was my father's executor and I sold his house. I dealt directly with the buyer's solicitor.
I had POA for my aunt and I sold her flat for her through an estate agent.

ruffler45 · 16/02/2025 07:15

Lavenderflower · 15/02/2025 16:15

I viewed a house today. The estate agent told me the seller had died but the property is being managed by power of attorney. The family will get the proceeds of the sale. The house has two failed sales. It was previously a HMO property.

POA stops on death, an executor takes responsibility for sorting out the estate. Authority to be an executor is given with a grant of probate or letter of administration from the probate office.

lostoldname · 16/02/2025 07:11

check with the EA what the status of the probate is. When someone dies the executors of the estate, or solicitors acting on their behalf, gather up all the financial info and apply for probate. there is then a wait whilst that is granted.

A house where the estate has not been granted probate can be put on for sale and legal process started but cannot be completed until probate granted.

The EA should know the status of the house and if probate has been applied for etc.

MotorwayDiva · 16/02/2025 06:22

Maybe the solicitors are acting as POA for one of the family, whilst the family are happy for a lower offer, the solicitor has to act in best interests hence not acceptinga lower offer?

Justsayit123 · 16/02/2025 06:20

If your estate agent definitely said POa, he’s talking shit so be wary of him/her.

torqrench · 16/02/2025 06:17

perhaps it was owned by a couple and one has died and the other is incapacitated.

Valeriekat · 16/02/2025 05:59

If the owner has died the estate will now be in probate and power of attorney no longer applies. Ask a solicitor.

Ketzele · 15/02/2025 18:38

I bought a flat that was being sold by solicitors, who were executors of the will. There were only two differences I noted. First, they were quite slow, I guess because they had little need to treat it as a priority. Second, they had clearly contracted someone to do a house clearance, but they had left behind the guy's medical equipment and not tidied up the evidence of how and where he had died. I think a family might have handled that differently.

I guess a positive was that the solicitors just wanted to discharge their responsibilities. There was no haggling over price, no gazumping or gazundering, no niggling over moving dates or what counted as fixtures and fittings.

I don't think my experience is generalisable, though. It wouldn't put me off doing the same again.

Lavenderflower · 15/02/2025 18:19

theboffinsarecoming · 15/02/2025 16:49

All that POA means is that someone acts for the person who cannot make their own decision for whatever reason.

In this case it looks like a solicitor already had power of attorney over the homeowner's affairs prior their death, and were looking after their finances, paying care home fees etc out of the homeowner's money. However, POA lapses at death. The only way the solicitor could still have POA is if the chief beneficiary or whoever had been nominated as Executor is themselves incapacitated and unable to deal with their affairs. So the solicitor could have POA over a surviving spouse's affairs, for instance.

Now that the person has died, the house belongs to the Estate of the deceased person, and presumably the solicitor is dealing with the will and its progress through probate. I would surmise that they have been nominated as the Executor of the estate, and as such they are duty bound to obtain the best price possible for the property. This could be why they are ignoring the wishes of the family, who presumably want their inheritance money.

Just think of the solicitor as being the seller, and that they will decide whether to accept your offer or not.

Thank you for your response. This makes sense.

OP posts:
DeepFatFried · 15/02/2025 17:15

theboffinsarecoming · 15/02/2025 16:49

All that POA means is that someone acts for the person who cannot make their own decision for whatever reason.

In this case it looks like a solicitor already had power of attorney over the homeowner's affairs prior their death, and were looking after their finances, paying care home fees etc out of the homeowner's money. However, POA lapses at death. The only way the solicitor could still have POA is if the chief beneficiary or whoever had been nominated as Executor is themselves incapacitated and unable to deal with their affairs. So the solicitor could have POA over a surviving spouse's affairs, for instance.

Now that the person has died, the house belongs to the Estate of the deceased person, and presumably the solicitor is dealing with the will and its progress through probate. I would surmise that they have been nominated as the Executor of the estate, and as such they are duty bound to obtain the best price possible for the property. This could be why they are ignoring the wishes of the family, who presumably want their inheritance money.

Just think of the solicitor as being the seller, and that they will decide whether to accept your offer or not.

You can actually give someone PoA for various responsibilities (as allowed by you) when you are in full capacity in every way.

Yes PoA is often set up for loss of capacity but a fully able owner could give a solicitor PoA to sell a house on their behalf.

Bearbookagainandagain · 15/02/2025 17:08

My bad, our situation was indeed probate and not POA!

Sorry I don't know about POA then!

theboffinsarecoming · 15/02/2025 16:49

All that POA means is that someone acts for the person who cannot make their own decision for whatever reason.

In this case it looks like a solicitor already had power of attorney over the homeowner's affairs prior their death, and were looking after their finances, paying care home fees etc out of the homeowner's money. However, POA lapses at death. The only way the solicitor could still have POA is if the chief beneficiary or whoever had been nominated as Executor is themselves incapacitated and unable to deal with their affairs. So the solicitor could have POA over a surviving spouse's affairs, for instance.

Now that the person has died, the house belongs to the Estate of the deceased person, and presumably the solicitor is dealing with the will and its progress through probate. I would surmise that they have been nominated as the Executor of the estate, and as such they are duty bound to obtain the best price possible for the property. This could be why they are ignoring the wishes of the family, who presumably want their inheritance money.

Just think of the solicitor as being the seller, and that they will decide whether to accept your offer or not.

Boope · 15/02/2025 16:49

saraclara · 15/02/2025 16:18

Power of attorney ceases on death. This will be a probate sale by the executors (who may well be the same people that had POA).

Edited

This is correct.
The sale cannot go through until probate is granted so the question to ask is whether the seller has probate.
Power of attorney ends as soon as the person dies.

DeepFatFried · 15/02/2025 16:48

Hueandcry · 15/02/2025 16:30

Poa ceases on death so this can't be a thing

It can. In this case.

Yes, if an elderly parent gives PoA to their Dc, that does indeed cease on death, and the estate goes to the Executor to administer and distribute the estate within the terms of the Will.

But PoA just means giving a third party authorisation to act on your behalf.

If family members inherit the house, for example, but don’t want to handle the sale (due to their own circumstances, e.h maybe infirm, live abroad, can’t be bothered, have done a Deed of Variatuon to leave all proceeds to cat home as don’t want any thing to do with late parents…) they can give power of attorney to a solicitor to handle every aspect of the sale.

maggiecate · 15/02/2025 16:47

It’s possible that the seller has died and they have a spouse who has inherited the estate but lacks capacity, is in care, and the solicitor has power of attorney. It shouldn’t make any difference in terms of the mechanics of the sale - the solicitor’s obligation is to get the best value for the estate and that’s usually served by a smooth and timely sale.

Fencehedge · 15/02/2025 16:44

onwards2025 · 15/02/2025 16:41

Sounds like a probate sale with solicitors appointed as executors. So those solicitors are acting as the "seller" hence any offers go to them to consider and decide just like it would have gone to the seller if still alive.

There property sale itself is no different to any other, other than those selling it can't give quite as much detail as the seller would have been able to for themselves but for many properties it is very little difference

It is different if the probate isn't granted yet. It can take, solicitors especially, a superbly long time to complete probate cases, and for probate service to issue it. I do wish houses wouldn't be marketed without the grant. OP should walk away if it's not in sight.

onwards2025 · 15/02/2025 16:41

Sounds like a probate sale with solicitors appointed as executors. So those solicitors are acting as the "seller" hence any offers go to them to consider and decide just like it would have gone to the seller if still alive.

There property sale itself is no different to any other, other than those selling it can't give quite as much detail as the seller would have been able to for themselves but for many properties it is very little difference

soupyspoon · 15/02/2025 16:39

Lavenderflower · 15/02/2025 16:28

I may be wrong but the impression I got is solicitor were not accepting lower offers and but the family seem a bit more flexible.

The executor must make sure that they get the best price they can otherwise beneficiaries can claim that the estate was mismanaged.

mathanxiety · 15/02/2025 16:35

Lavenderflower · 15/02/2025 16:19

The estate agent said POA.

Is it possible the person who lived there has dementia and has been moved into a home, and the person with POA is selling it to pay for the care home?

Semiramide · 15/02/2025 16:34

You need to find out the stage of the probate process - when is probate likely to be granted?

Also, the solicitors who are the executors of the estate will liaise with the family who will inherit, i.e. the beneficiaries of the deceased's will, which could potentially slow down the sale.

Ask your solicitor to talk to the executor solicitors for more information.

Lavenderflower · 15/02/2025 16:30

Bearbookagainandagain · 15/02/2025 16:25

We bought a house that was under POA and we completed in 3 months.
I was told there could be more complications though, mainly if the POA hasn't actually been granted yet, or if the people inheriting the house aren't getting along as any of them could block the sale.

Our experience has been mostly positive, but negotiation was very difficult when the surveys revealed some (minor) issues. According to the estate agent, they were 5 siblings and 1 absolutely refused to budge on the price. We managed to get a bit off, but I think we slightly overpaid compared with the market at that time.

In your situation, I would really want to know why the 2 previous sales fell through.

Edited

My understanding the the first sale fell through because it would have cost the buyer to more 120,000 to refurb from a HMO to a family home. The second sell fell thought due to the chain.

OP posts:
RosesAndHellebores · 15/02/2025 16:30

Lavenderflower · 15/02/2025 16:19

The estate agent said POA.

Never a good idea to entirely rely on what an estate agent says in my experience.

It's likely a probate sale where the executors are selling. It's possible the solicitors are acting as or for the executors.

When we bought the house was a probate sale. There were no problems at all. It was helpful that there was no chain beyond the purchase.

It needed a lot of work though.