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Things you need to know about Special Power of Attorney to Buy Movable Property.


1. What is a Special Power of Attorney to Buy? 

A Special Power of Attorney to Buy allows a person (the “agent”) to purchase property on another person’s behalf (the “principal”).  The agent can purchase the property specified in the power of attorney under terms he deems most beneficial to the principal.


2. When do you need a Special Power of Attorney to Buy?

A Special Power of Attorney to Buy is necessary if you wish to appoint another person to purchase property on your behalf.  

A Special Power of Attorney to Buy is normally executed when the principal is unable to purchase the property on his own and will need an agent to act on his behalf.   However, it may also be executed even if the principal is not incapacitated and just wishes to appoint an agent to purchase the property.


3. How can a Special Power of Attorney to Buy benefit you?

A Special Power of Attorney to Buy serves as written proof that the agent has authority to purchase the property on the principal’s behalf.  Potential sellers will be apprehensive about selling their property to persons who are acting as agents without written proof that the agent is authorized to act on the principal’s behalf.  The Special Power of Attorney to Buy can serve this purpose.

The Special Power of Attorney to Buy also serves as proof that the property, once purchased, belongs to the principal and not the agent.


4. What is the difference between a Special Power of Attorney to Buy and a General Power of Attorney?

Both powers of attorney are used to appoint an agent to act on the principal’s behalf.  However, they are different in terms of the nature of powers granted.  A General Power of Attorney is used to grant the agent broad powers to handle the principal’s affairs.  On the other hand, a Special Power of Attorney to Buy is used solely to grant the agent the power to purchase property on the principal’s behalf.  


5. What information do you need to create a Special Power of Attorney to Buy?

To create your Special Power of Attorney to Buy you’ll need the following minimum information:

  1. The type of principal (i.e. individual or business) as well as name and details (i.e. nationality and address)
  2. The type of agent (i.e. individual or business) as well as name and details (i.e. nationality and address)
  3. Brief description of the property to be purchased 

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