The seller says he is the owner's attorney, and he has a signed power of attorney to prove it. Sometimes this is a perfectly normal arrangement, such as an owner living abroad who asks a relative to sign on his behalf. Sometimes it is a way of selling a property without ever registering a sale deed. Telling the two apart is one of the most important checks a buyer can make.
A power of attorney lets one person act for the owner. It does not make that person, or the buyer, the owner. Ownership of a flat in India passes only through a registered sale deed. A power of attorney can help sign that deed, but it cannot replace it.
General vs Special Power of Attorney
| General POA (GPA) | Special POA (SPA) | |
|---|---|---|
| Scope | Broad powers to manage the owner's affairs | Limited to a specific task, such as signing one sale deed |
| Typical use | Managing or renting out a property | Representing the owner at registration |
| Transfers ownership? | No | No |
What the Supreme Court Said
For years, buyers avoided the cost of a full sale deed by using a combination of three documents: an agreement to sell, a general power of attorney, and a will. In Suraj Lamp & Industries v. State of Haryana, the Supreme Court held that this arrangement is not a valid way to transfer immovable property. A power of attorney is an agency document, and the sale of immovable property needs a registered deed of conveyance.
The Court also pointed out that these arrangements were widely used to avoid paying full stamp duty, which we explain in our Stamp Duty & Registration guide. The ruling did not wipe out every earlier genuine transaction, but such papers cannot be relied on as proof of title.
When a Power of Attorney Is Part of a Valid Sale
| Situation | Position |
|---|---|
| Registered sale deed signed by the owner | Valid transfer of title |
| Registered sale deed signed by an agent under a genuine, registered POA that clearly authorises the sale, while the owner is alive and the POA has not been revoked | Generally valid, but still verify every point |
| "Sale" by GPA, agreement and will, with no registered sale deed | Not a valid transfer of ownership |
| Sale deed signed by the agent after the owner has died | Invalid, since the agent's authority ends on the owner's death |
Why a GPA "Sale" Puts Buyers at Risk
- ● You do not become the legal owner, however much you have paid
- ● The original owner, or their heirs, can claim the property is still theirs
- ● The power of attorney can be revoked, and it ends when the owner dies
- ● Banks generally will not lend against it, and a Khata transfer typically requires a registered sale deed, as in our Khata guide
- ● Calling the GPA "irrevocable" does not turn it into a sale deed
If a Seller Signs Through an Agent: Checks to Make
Owners abroad often appoint a relative or lawyer to sign. That can be legitimate, and it is common in NRI sales, which also bring TDS obligations covered in our NRI seller guide. If you are in this situation, work through these checks:
The rest of the checks sit in our resale flat buying checklist.
If You Already Bought on a GPA
Do not panic, and do not wait. Speak to a property lawyer soon. The usual way to fix the position is to have the owner, or their legal heirs, sign and register a proper sale deed in your favour. Stamp duty and registration costs apply, and the right approach depends on your documents, so take advice before paying anything further.
Frequently Asked Questions
You can sign such papers, but they do not make you the owner. Ownership passes only through a registered sale deed.
Yes, if you give a proper power of attorney that clearly authorises the sale, and the agent signs a registered sale deed while the authority is still valid. A Special Power of Attorney limited to this one sale is safer than a general one.
It ends. An agent cannot validly sign a sale deed after the owner's death, and the property passes to the owner's legal heirs.
Notarisation is a weaker safeguard than registration, and views differ on how it is treated. Have a property lawyer review the document before you rely on it.
Seller signing through an attorney?
APKACOMPLEX helps buyers and sellers with documentation checks for resale transactions across Bangalore's top communities.
View Pricing & Get StartedLast verified: October 2026. This article reflects the Supreme Court's judgments in Suraj Lamp & Industries v. State of Haryana and later decisions on powers of attorney, and the requirement that immovable property be transferred by a registered deed. Rules on registering and notarising powers of attorney have changed over time and can depend on the date of the document. This is general guidance, not legal advice. Have a property lawyer review any power of attorney before you pay.