Aug 24, 2023

Empowering NRI Property Transactions: Power of Attorney NRI

by Godrej Properties Limited



For Non-Resident Indians (NRI) seeking to invest in property back home in India, the power of attorney NRI (POA) emerges as a potent legal tool. This indispensable document empowers an appointed representative to act on the NRI's behalf and execute essential transactions, eliminating geographical constraints. Let's delve into the intricacies of the power of attorney and understand the process of power of attorney executed outside India.

Deciphering the Power of Attorney

A power of attorney, often referred to as a letter of attorney, bestows the authority upon another individual or entity to manage the NRI's property, medical affairs, or finances in their absence. The principal, donor, or grantor is the person who grants the power, while the authorized individual becomes the agent or attorney-in-fact. Depending on the terms specified, the agent can possess limited or extensive authority over legal decisions related to property, medical matters, and finances.

Obtaining a Valid Power of Attorney

To acquire a valid power of attorney by NRI, one must follow specific procedures, primarily if they reside abroad. A power of attorney NRI can only be executed at the office of the sub-registrar within the jurisdiction of the principal, even if the NRI lives overseas. 

Execution Methods for the  Power of Attorney

NRIs residing abroad and intending to invest in Indian property have two methods to execute a power of attorney:

a) Legalisation:

Under this approach, the signature of the judge or notary before whom the POA is executed must be authenticated by the accredited representative of the Indian Embassy or Consulate. Within three months from receipt, the NRI selling property in India power of attorney must be stamped in India, and the stamp duty is paid during registration.

b) Apostilisation:

Apostille is a certificate that verifies the signature or seal of the authenticating person, adhering to the Indian Registration Act 1908 and the Power of Attorney Act of 1882. TO VALIDATE ITS AUTHENTICITY, the POA executed outside India follows an apostilisation process governed by the Hague Convention, 1961.

Conclusion: Empowering NRIs for Seamless Property Transactions

An NRI often requires a power of attorney (POA) to undertake property transactions in India for practical and legal reasons. Being physically distant can make property registration, negotiations, and paperwork challenging. A POA grants a trusted representative the authority to act on the NRI's behalf, ensuring seamless management of legal and financial aspects. A power of attorney allows NRIs to venture into Indian real estate while maintaining control and convenience, even from afar.


Q: What is the purpose of a power of attorney for NRIs?

A: A power of attorney allows NRIs to authorize someone else to handle property, medical, or financial matters on their behalf in India when they are not physically present.

Q: Can an NRI execute a power of attorney outside India?

A: Yes, NRIs residing abroad can execute a power of attorney, which needs to be attested by the Indian consulate in that country and used within three months from the date of execution.

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