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Buying a Hutment Property going to be redeveloped by SRA
24-Mar-2025 (In Civil Law)
As a middle class person, I wish to buy a hutment property in Worli, Mumbai. The property documents are clear but with POA, how safe is it to buy?
The following are risk factors in POA -
No Ownership Rights
A POA holder is NOT the legal owner—they can only act on behalf of the owner.
If the original owner dies or revokes the POA, the transaction can be challenged.
Fraud Risk
Fake/forged POAs are common in property scams.
The owner may later claim they never authorized the sale.
Legal Disputes
If the owner’s heirs challenge the sale, you may face long court battles.
Bank Loan Issues
Most banks do not finance POA-based property purchases unless it’s a registered GPA (General Power of Attorney) + Will.
Helpful?
Adv. Siddhi Sunil Vadake
Mumbai | 25+ Answers
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No its not at all safe to buy with just POA a registered sale deed is required for it .
It is not valid to transfer the property title when buying or selling a property
So don’t buy the property with just POA it will be invalid.
Get a registered Sale deed for it .
Helpful?
Adv. Vaibhavi Muthinty
Dombivli | 100+ Answers
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