Can grandchildren have POA over children?

Okay, I'm getting back on my hobby horse with this.

First of all, though, Txc is quite right about what your grandmother can do: provided she is mentally competent she can annul any existing POA and appoint anyone else she pleases. The burden of proof of her incapacity would be on your aunt: that is to say, to enforce her POA, your aunt would have to get qualified professionals to certify that your grandmother is no longer of sound mind. She's not going to get that to happen if your grandmother is mentally fine except for brief periods when her mind is on other things.

Back to the hobby horse - it's where you say "Her reasoning is she has power of attorney over my grandmother…" etc.

I would like this engraved on the heart of anyone who agrees to act with power of attorney: the power you exercise is NOT over the person who gave it to you, it is on behalf of that person. You act for them. You make decisions for them. You serve them. They have given you the power to act on their behalf, in their best interests. They have not given you power "over" them.

I'm going to say this, too. Neither your sister nor your aunt is acting in your grandmother's best interest by having a childish spat about whose bedroom it was first or who has lived there longer or who loves your grandmother best. This is ridiculous: you've pointed out that either or both of them could easily be accommodated in the home, yes? So knock their heads together and tell them to cut it out - your grandmother can't need this kind of thing going on in her house.

Txcamper, there are a lot of factors behind my aunts rage. She is being kicked out of her current home and has less than a month to move. So she is trying to use my grandmothers episodes as excuses to move in "rent free"! Not because she has my grandmothers best interest at heart. She wants to kick my sister out of her room just because it's the bigger room and she wants it. She is being nasty just to be nasty and upsetting my grandmother in the process. My aunts are very mean to her and my grandmother has made it very clear she doesn't want my aunt living with her because they treat her like she is incompetent which she clearly isn't . She went to see a neurologist last week and both my aunts took her. They were both furious when they returned because the doctor said my grandmother was perfectly fine. She was just stressed(in my opinion because of my aunts). He said she didn't show any signs of early dimentia or Alzheimer's. They are both just being horrible because they are in financial burden and want my grandmother out so that can sell her house and get their share! With my aunt having POA is that only effective if she is incapable of making her own decisions or can she have her put in a nursing home whenever she wants?

I am sorry that you and your sister are having to deal with this.

Your grandmother, if she is "of sound mind", meaning that she knows what she is doing and isn't coerced, can appoint ANYONE power of attorney over her financial and/or medical affairs. She will have to appear, at the very least, depending upon the laws in your state, before a notary, who will ascertain her mental acuity, and there will need to be witnesses who will never benefit from any decisions made by the power of attorney. Friends and neighbors come to mind.

If it can be proven that you or your sister swayed her mind, it can be challenged.

I don't think having POA means your aunt can kick your grandmother out of her bedroom into another one, but think about it for a minute, all emotion aside. Would the other bedroom be a better fit for grandmother? Or, did I misread and you meant kick your sister out of her bedroom? If the aunt moves in, if I was your sister, I'd move out anyway. It wouldn't be an easy situation to live in.

It isn't easy to have someone declared mentally incompetent, so that might just be an empty threat, made in the heat of the argument.

After things cool down, the aunts may do nothing and all will be okay. Fingers crossed.