how do we sell our mom's house if we do not have power of attorney

Can you sell a home with a power of attorney?

Aug 31, 2021 · If you need to sell a house you’ve inherited from your parents, you have a long to-do list in front of you. However, you can reduce some of the stress by working through the process step-by-step: 1: Establish the status of your parents’ estate 2: Identify the estate executor and notify all interested parties

Can I Sell my Mother's House if I have a PoA?

Nov 10, 2014 · First step is to find out - preferably in writing - what the state requires of sale proceeds when the home is sold, so that at the act of sale everything can go through with no issue. Helpful Answer ( 0) Report P pamstegma Nov 2014 DON'T sell anything, it will interrupt Medicaid until she spends down the money from the sale.

Should I Sell my Mother’s house?

On the other hand, you may have a general power of attorney for an ailing parent who ultimately needs to go into an assisted care facility. With the POA, you will be able to sell the home for them. As the agent in a power of attorney document, you have a fiduciary responsibility to do what's in the best interest of the principal. For instance, you cannot use a POA to sell a home to yourself …

Can you sell a deceased parent’s house?

Feb 10, 2016 · We review the Durable Power of Attorney appointing Daughter Attorney-in-Fact to see the options regarding the home and other real estate. The Durable Power of Attorney is a very important document that if written and executed correctly, legally authorizes Mother, while mentally competent, to nominate Daughter to handle financial transactions in ...

What is POA in law?

Power of attorney (POA) rules vary depending on the state. There are several types. A POA can be limited or general. It can also be durable or non-durable.

What is a general power of attorney?

A general power of attorney allows you to do anything the principal can do. That includes handling all finances and transactions, including a home sale. Depending on the situation, some banks may be uncomfortable with a large transaction like a home sale done with a general POA and may ask you to have a specific POA for real estate created.

Can you sell a house with a POA?

With the POA, you will be able to sell the home for them. As the agent in a power of attorney document, you have a fiduciary responsibility to do what's in the best interest of the principal. For instance, you cannot use a POA to sell a home to yourself for far less than market value if that's not in the best interest of the seller.

What can a realtor do for you?

A professional realtor can help you understand what repairs need to be made and what changes won't really matter to buyers. Don't assume you have to pay an arm and a leg to get full-service real estate help, either.

Can a power of attorney be used if the principal is incapacitated?

A durable power of attorney will continue even if the principal becomes incapacitated or mentally unable to carry on their own affairs. You may have this in place if your family member has Alzheimer's, for instance.

How to get a power of attorney?

How to get power of attorney if you need it 1 Understand the obligations of being an agent in a POA arrangement. 2 Evaluate that the principal has the capacity to sign a power of attorney agreement. 3 Discuss the issue with the financial institutions (mortgage holders) and physicians (whenever there may be questions about capacity). 4 Hire an attorney or contact a legal website like Legal Zoom, online on-demand legal services with a 100% satisfaction guarantee on all their filings. 5 Be supportive. Giving up control of a real estate transaction can be a hard adjustment for an elder family member. 6 Ask a lot of questions and make sure you understand the obligations for all parties under the document. 7 Make sure that the document outlines actions with as much detail as possible to avoid any gray areas that can be misinterpreted. 8 Get the final document notarized or witnessed — depending on your state’s requirements if they haven’t enacted the Uniform Power of Attorney act of 2006. 9 Record the power of attorney with the county clerk office where the home is located — depending on your state or county requirements. 10 Make authenticated copies of the document for safekeeping. 11 Always present yourself correctly as someone’s agent.

What is a POA in real estate?

“Power of attorney” (POA) is a flexible legal tool that grants permission for someone to act on another’s behalf on a temporary or permanent basis. In real estate, this can be an incredibly useful option for all sorts of situations, like if you had to sell your house but couldn’t be there due to a job relocation or deployment.

Why is a power of attorney important?

Because it’s limited in both time and scope, it’s a great tool when you want to give someone a very specific responsibility. A medical power of attorney gives an agent (often a family member) authority over someone’s medical care once a doctor determines they are unable to make decisions on their own.

What is an agent in fact?

The agent or attorney-in-fact is the person who receives the power of attorney to act on someone else’s behalf. The agent will have a fiduciary responsibility to always act in the best interest of the principal for as long as the power of attorney is valid. A fiduciary, according to the Consumer Financial Protection Bureau (CFPB), ...

How many people have a will?

According to a 2019 Report from Merrill Lynch and Age Wave, only 45% of Americans have a will, and just 18% have the recommended estate planning essentials: a will, a healthcare directive, and a durable power of attorney.

Can you be on the principal side of a POA?

Whether you anticipate that you’ll be on the principal or agent side of a POA agreement, you should be familiar with the different types of power of attorney, their uses and limitations, as well as any restrictions around when to set one up so that it’s ready when you need it. Otherwise, you or your loved ones could be leaving your assets — like the house — at risk.

What happens to a non-durable power of attorney?

Similarly, with a non-durable power of attorney, once the transaction is complete, or the time period ends, the power of attorney is revoked. A durable power of attorney is when an agent can take over all aspects of someone’s affairs, in case he or she were to become incapacitated. This type of power of attorney kicks in ...

What happens when you sell your mom's house?

When you sell your mom's home, the amount by which the sales proceeds exceed your basis in the home equals your taxable capital gains. The sales proceeds are the selling price minus any costs that came with selling the home, such as commissions or advertising fees.

What is the basis of inherited assets?

Before you can start figuring out your capital gains from selling a house, you need to know what your basis is, because you don't pay taxes on that portion of the sales proceeds. Often your basis equals what you paid for the house.

Where is Mark Kennan?

Mark Kennan is a writer based in the Kansas City area, specializing in personal finance and business topics. He has been writing since 2009 and has been published by "Quicken," "TurboTax," and "The Motley Fool.".

What is the importance of selling a house as an estate sale?

This includes changing the mail, so you receive it in a timely fashion, along with enhancing the home’s security. Keep in mind there are going to be folks who know about the death that took place and the fact the home may be vacant.

What happens if you sell an estate with more debt than assets?

If you are going to be selling an estate where there are more debts than assets, this is what’s called being insolvent. If this is your situation it is important NOT to pay any debts you don’t have to—state law will set out a priority list for you to follow. If you pay some low-priority creditors, you could find you are personally liable for the amount you shouldn’t have paid out.

How to find out if someone died in a house?

Buyers can now find out if a death has taken place in a house in a new website called Died in House. The site will check the following: 1 A death in a house and any relevant details. 2 Names of those who died. 3 The vitality status of associated people. 4 Cause of death if available. 5 Additional deceased information.

What happens to real estate when a person dies?

If a person dies without a will or testate (with a will) then the real estate passes directly to the heirs at law or directly to the beneficiaries under the will. For example: A single parent passes away leaving behind her two children. The house has been left equally to both siblings.

What is an estate sale?

For instance, if you are not a Realtor, you might be thinking that an estate sale is an auction where furniture and other possessions are liquidated.

Who is Bill Gassett?

Bill Gassett is a nationally recognized Real Estate leader who has been helping people move in and out of the Metrowest Massachusetts area for the past thirty-four plus years. He has been one of the top RE/MAX Realtors in New England for the past two decades.

Do you have to clean your home when selling it?

In addition to any changes you make to the home, you are going to want to clean it thoroughly. There is nothing more critical to the sale of a home than a proper cleaning. If you do not want to do the work yourself, ask your Real Estate agent for a reference for someone who will do a good job.