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Summary: A power of attorney for property lets someone you name (your attorney) sign real estate documents on your behalf in Ontario. It can be used to buy, sell, or refinance a home, but the document must be valid under the Substitute Decisions Act, 1992, registered on title, and approved by any lender involved.
Most people set one up for a closing in one of two situations: they will be out of the country on closing day, or a family member is handling the transaction for someone who can no longer manage it alone. In both cases the paperwork only works if it is prepared correctly before the deal is signed, so it is worth understanding the rules early.
What is a power of attorney for property in Ontario?
A power of attorney for property is a legal document in which a capable person (the grantor) authorizes another person (the attorney) to manage their financial and property affairs. In Ontario it is governed by the Substitute Decisions Act, 1992, and it can cover real estate.
The attorney can do almost anything with your property that you could do yourself, with one key exception: they cannot make or change your will. There are two common types, and the difference matters for a closing.
Continuing power of attorney | Non-continuing (general) power of attorney | |
Survives incapacity | Yes, keeps working if you become mentally incapable | No, ends if you lose capacity |
Typical use | Long-term planning; a family member managing your affairs | A one-off task while you are capable but unavailable |
Real estate | Can buy, sell, or refinance | Can buy, sell, or refinance while you remain capable |
A continuing power of attorney for property keeps working even if you later become mentally incapable, which is why it is the version used in most estate planning. A non-continuing power covers a specific window while you are still capable but cannot attend in person.
Can you use a power of attorney to buy or sell a home in Ontario?
Yes. An attorney can sign the agreement of purchase and sale (APS), the transfer of title, and mortgage documents on your behalf, provided the power of attorney is valid and grants authority over real estate. The document still has to hold up to scrutiny from the other side's lawyer and any lender.
Because a home is usually a person's largest asset, everyone involved checks the paperwork carefully. A power of attorney will not work in a real estate deal in these situations:
The grantor lacked capacity when signing. You must understand what you are authorizing at the time you sign, or the document can be challenged.
The power has been revoked. A grantor can cancel a power of attorney at any time while capable, and a cancelled document carries no authority.
The grantor has died. A power of attorney ends automatically at death, and the estate is then handled by the estate trustee under the will.
It does not cover property. A power of attorney for personal care deals with health and living decisions, not real estate.
If the property is a matrimonial home, the Family Law Act requires a spouse's consent to sell or mortgage it. The standard continuing power of attorney for property form lets your attorney give that consent on your behalf, but only if the document is worded to allow it.
How does an attorney sign real estate closing documents?
The attorney signs in place of the grantor, but a lawyer must first confirm the power of attorney is valid and register it so it appears on title. In Ontario, documents that affect title are registered electronically through Teraview, the provincial land registration system.
Your lawyer reviews the document. They confirm it is a power of attorney for property, that it grants authority over real estate, and that it has not been revoked.
You provide the original. Lawyers and lenders generally want to see the original signed power of attorney, not a photocopy.
The power of attorney is registered on title. For any document that appears on title, such as a transfer or a charge (mortgage), the power of attorney is registered in the land registry through Teraview.
The attorney signs the closing documents. With everything confirmed, the attorney signs the transfer, mortgage, and closing paperwork on the grantor's behalf.
Funds and keys change hands as usual. From there, the closing runs like any other.
What do mortgage lenders require when there is a power of attorney?
When a mortgage is part of the deal, the lender has the final say on whether it will accept a power of attorney. Many lenders pre-approve the arrangement only under specific conditions, and some decline it altogether.
Advance approval. Tell the lender early. If they have not approved the power of attorney before closing, they can refuse to advance the mortgage funds on closing day.
An existing relationship. Lenders are more comfortable when the borrower is already a customer of the bank.
A lawyer's involvement. Many lenders require that an Ontario lawyer witness the power of attorney being used, and some ask for a legal opinion confirming it is still valid.
Clear authority. The document must plainly authorize borrowing and mortgaging, not just selling.
Because requirements differ from one lender to the next, the safest step is to raise the power of attorney with your mortgage professional and your lawyer as soon as you know you will need it.
How do you set up a power of attorney that will work for a closing?
Have a real estate lawyer prepare a continuing power of attorney for property well before closing, and make sure it is signed correctly. A rushed or generic document is the most common reason a deal stalls. Ontario law sets a few baseline rules:
You must be at least 18 and capable. The grantor has to understand the document at the time of signing.
Two witnesses are required. The power of attorney must be signed in front of two qualified witnesses, who also sign it. Your spouse, partner, and children cannot act as witnesses.
Name someone you trust. The attorney should be at least 18 and someone who will act in your interest.
Giving your lawyer the original document early leaves time to spot any gap in authority before closing day, when there is little room to fix it.
Frequently asked questions
Can my attorney sign the agreement of purchase and sale for me?
Yes. If your power of attorney is valid and covers real estate, your attorney can sign the agreement of purchase and sale as well as the closing documents. The other side's lawyer will still review the document first.
Does a power of attorney need to be registered to sell a house in Ontario?
When a document affecting title, such as the transfer, is signed under a power of attorney, that power of attorney is registered in the land registry through Teraview so the authority appears on title.
Can I use a power of attorney if I am out of the country on closing day?
Yes. This is one of the most common reasons people use one. A non-continuing power of attorney can cover a single transaction while you are capable but unavailable, such as travelling abroad.
Will my bank accept a power of attorney for my mortgage?
Not always. Lenders set their own rules, and some decline powers of attorney. Ask your lender to approve it in advance, because without approval they can refuse to release the mortgage funds on closing.
Can a power of attorney be used after someone dies?
No. A power of attorney ends the moment the grantor dies. After that, the estate trustee named in the will handles the property under estate law, not the former attorney.
What is the difference between a power of attorney for property and one for personal care?
A power of attorney for property covers finances and real estate. A power of attorney for personal care covers health, housing, and care decisions. Only the property version can be used to buy or sell a home.
About the author
Joel Fox is a co-founder and COO at Ownright. He helps run the firm's day-to-day work on Ontario residential closings, refinances, and sales, and writes regularly to demystify the parts of a transaction that most homeowners only encounter once or twice in their lives.
At Ownright, we focus entirely on Ontario residential real estate law. We help homeowners with purchase closings, refinancing, and sales, including deals signed under a power of attorney, all through a digital platform backed by licensed Ontario lawyers. You can start your closing online or get in touch with any questions.
Legal references: Substitute Decisions Act, 1992, S.O. 1992, c. 30; Family Law Act, R.S.O. 1990, c. F.3; Ontario land registration bulletin no. 94001 (Power of Attorney — Substitute Decisions Act).
Important note: This article is not legal advice. No one should act, or refrain from acting, based solely on the information in this post or any linked materials without first seeking appropriate legal or professional advice.
