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Real estate glossaryNational exam concept

Power of attorney

A power of attorney is a written instrument by which a principal grants an agent, called an attorney-in-fact, authority to act within the powers described in the document.

Exam area: Agency

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What does “power of attorney” mean in real estate?

A power of attorney is a written instrument by which a principal grants an agent, called an attorney-in-fact, authority to act within the powers described in the document.

How is “power of attorney” different from the closest wrong answer?

An attorney-in-fact is an authorized agent and need not be a lawyer. A closing attorney is a Georgia-licensed lawyer performing legal closing work.

What is the Georgia-specific rule?

Georgia law and the specific document control execution, durability, recording, acceptance, and scope. Authority to sign a deed must be clear and the instrument may need recording with the conveyance.

Worked exam example

Scenario

An owner authorizes a trusted relative through a valid instrument to sign stated closing documents while the owner is overseas.

What is the most common exam trap?

Trap correction

The agent cannot exceed the document's authority or treat the principal's property as the agent's own.

Original exam check

Apply the definition

A seller who will be overseas signs a valid power of attorney naming a nephew, who is not a lawyer, to sign the deed at closing. Which statement is accurate?

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Continue with Agency complete lesson. It places this term inside the full rule, worked examples, exam traps, and mixed practice required for mastery.