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Dad is 90 years old. He is doing well at the Memory Care unit. My brother and I would like to sell his house (4 hours away) this summer. We live in Michigan. As Fiduciaries we think the timing is right, one big reason is because insurance does not want to insure an empty house. We hear that dad, even with his dementia has to sign the papers at closing. Physically that is probably impossible considering his dementia and congestive heart failure. Because the house is insured until the end of June we feel the clock ticking. Any suggestions?

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Just went thru this. Husband is POA for his dad and was able to sign the closing documents. Have you spoken with a closing attorney? Also, you may consider placing the house with a good management company and using the rental income to help pay your Dad’s rent. And, YES!! OMG!! The insurance on an empty house is ridiculous!!!
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You hear from whom that your father's signature would be required?

If it hasn't been established that your father is legally incompetent, then yes you will need his signature I'd have thought. Why should that be a physical impossibility? The ideal would be for one or both of you to take the papers to your father, explain them to him, and assist him with reading and signing the relevant sections.

If it's not so much a physical impossibility as a painful discussion that you were hoping to avoid, then you will need to find out from whoever handled your POA what you have to do to establish your father's incompetence - assuming he is incompetent - and therefore your right to act on his behalf independently of him. The requirements vary; it shouldn't take long but with only four weeks in hand I wouldn't let the grass grow.

Has this in fact been discussed with your father at all, at any stage?
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Even with a POA things like this can be legally sticky. Seek the advise of a good elder law attorney. This will protect you and your father.
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I am not insuring my Moms property because of the cost. The estate has no money and either do I for a property that is falling apart.

My POA reads that I can buy and sell. I have had no problem with the Realtor excepting this. But thats my state. A good Realtor should know what the State excepts. It may be you just need a lawyer to confirm that the POA is in effect and maybe a Dr claiming incompetence.
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From my understanding Michigan is a world unto itself with all things senior.

I would ask a title agent or realtor if they know what usually gets done in these situations.

I sold a piece of property for my dad and the state of Nevada would not honor my AZ DPOA, they required a specific POA to do this transaction. It took months to finish because we had to have a good day that he could understand what he was signing.

I do understand why the laws are such, to many people exploiting vulnerable seniors, but sheesh, couldn't they have a solution in place when dealing with someone that is not able to comprehend any longer.

The good and bad of protecting our elders.

Let us know how you eventually get it sorted out.

Regarding the insurance, I would check with other companies that sell insurance. We insured an empty industrial building and it cost a bunch of extra money for all the additional coverage. It was difficult to find a company that was willing to insure, but they're out there.
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Do you have a buyer already or is the house just in that much demand? Having a sale go through by the end of June sounds ambitious! That said the whole point of having POA/DPOA is for just this sort of thing and there has to be a way around or through this. Your parent's aren't capable of signing and if they did now without you I would think that could be challenged so I might throw this out to the listing agent to find the answer to, you can't be the first or the last family in this predicament. The other thing to consider is renting it, the insurance company is much happier about having renters in there than no one, we have been through this. Just in case the sale doesn't go as quickly.
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When I had this issue with my parents. The title insurance company (insurance for the buyers mortgage company) insisted that I needed to have a declaration made out that stated that my parents were still alive and reaffirm the POA...of course signed and notarized.

When I explained the situation to them, the said I could get their physician to fill out the same form that the Social Security admin requires.....it basically is filled out by the doctor and states that they are no long capable of handling any financial dealing. Notarized... of course.

this, along with the copy of my POA from the county clerks office...with the seal of the county clerk attesting to being a valid copy from the clerk. Since I didn’t file this POA with the county clerk..I had to go do that first.
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