Dec262025
Real Estate Q&A Series

What happens if one seller under a power of attorney doesn’t respond to finalize the sale? – North Carolina

Short Answer

In North Carolina, a sale involving co-owners usually cannot close unless every owner (or that owner’s valid agent under a power of attorney) signs the contract and the deed. If the power-of-attorney holder does not sign or respond, the transaction typically stalls until the signature issue is solved, the contract is extended/amended, or the buyer terminates under the contract’s terms. In some situations, the only practical “end run” is a separate court process (such as a partition action) initiated by an owner—not a quick fix for a pending closing.

Understanding the Problem

In North Carolina, when three people co-own one property and a buyer is under contract, can the sale close if only two co-owners have signed and the third co-owner acts through a power of attorney but the agent will not respond? The core decision point is whether the nonresponsive power-of-attorney agent is required to sign to bind that owner’s share so the sellers can deliver the interest the contract promises at closing. This question comes up most often when a contract deadline is approaching and the closing depends on one missing signature from an agent rather than from the owner directly.

Apply the Law

North Carolina real estate sales depend on the sellers’ ability to convey what the contract requires at closing. If the property is co-owned and the deal contemplates a transfer of the whole property, each record title holder (or a properly authorized agent for that owner) generally must sign the deed and other closing documents for the buyer to receive full title. When an owner signs through an agent using a power of attorney, North Carolina law allows the agent to sign on the owner’s behalf, but recording rules often require the power of attorney (or a certified copy) to be recorded and referenced so the deed is recordable and the chain of title is clear.

Key Requirements

  • All required seller signatures: If the contract requires delivery of the entire property, each co-owner’s interest must be conveyed, which usually means each co-owner (or that co-owner’s agent) signs the deed and closing documents.
  • Valid power of attorney for real estate: The agent must actually have authority to sign for the owner for a sale (not just to “manage” property), and the signature must be made in a legally sufficient way as an agent for the principal.
  • Recordable paperwork: For many closings, the power of attorney (or a certified copy) should be recorded with the Register of Deeds (and properly referenced) so the deed signed by the agent can be recorded without title problems.

What the Statutes Say

Analysis

Apply the Rule to the Facts: The property is co-owned by three individuals, but only two have signed the offer to purchase. If the contract is for the entire property (not just two-thirds), the sale cannot typically close unless the third owner is bound and can convey that owner’s interest—either by signing personally or through a power-of-attorney agent who signs with proper authority. Because the agent has not responded, the sellers cannot deliver all required signatures for closing, and the buyer is usually left with delay, renegotiation (extension/amendment), or termination based on the contract’s deadlines and contingencies.

Process & Timing

  1. Who acts first: The sellers (through their closing attorney) typically must obtain the missing owner’s participation. Where: Closing coordination usually runs through the closing attorney and the county Register of Deeds where the property is located. What: A recorded power of attorney (or certified copy) and signature-ready deed/closing documents signed by the agent in a compliant form. When: Before the contract’s closing date and any “time is of the essence” deadline in the contract.
  2. Short-term options: If the agent is unresponsive, the parties often negotiate a written extension or amendment while confirming the agent’s authority and recordability requirements (including whether the power of attorney is recorded and properly referenced for the deed).
  3. If the stalemate continues: The transaction may fail to close as scheduled. At that point, the buyer’s practical remedies usually turn on the written contract (termination rights, return of deposit, or a demand to perform), while the co-owners’ “end-game” remedy to force a sale is often a partition case filed in superior court by a cotenant, which can lead to a court-ordered sale process rather than a conventional closing.

Exceptions & Pitfalls

  • The contract might not actually bind the third owner yet: If only two of three owners signed, the “seller” side may not be fully bound to convey the entire property, which can change leverage and remedies. This is highly contract-specific.
  • Power-of-attorney authority problems: Even if the agent responds, a closing can still fail if the power of attorney does not clearly authorize a sale, is not properly executed, or is not recorded/referenced in a way that the closing attorney and title insurer will accept for recording.
  • Trying to close on less than the whole property: A cotenant can convey only an undivided interest. Buying only two owners’ shares can leave the buyer owning the property with the third person as a new co-owner, which is rarely the intended deal and can create serious use and resale issues.
  • Delay without a written extension: Relying on informal assurances can create a missed-closing dispute. If more time is needed, the safer path is a written extension or amendment signed by all required parties.

Conclusion

In North Carolina, when a property is co-owned and the contract calls for a transfer of the whole property, the sale usually cannot close unless all owners sign—or an authorized power-of-attorney agent signs for any owner who cannot sign personally. If one power-of-attorney agent does not respond, the deal typically stalls and may miss the closing date unless the parties sign a written extension or resolve the authority and signature issue. The next step is to get a written extension signed before the closing deadline.

Talk to a Real Estate Attorney

If a closing is stuck because a co-owner’s power-of-attorney agent will not sign or respond, a real estate attorney can help confirm what the contract requires, whether the power of attorney is usable for recording, and what options exist before the closing deadline. Call us today at (919) 341-7055.

Disclaimer: This article provides general information about North Carolina law based on the single question stated above. It is not legal advice for your specific situation and does not create an attorney-client relationship. Laws, procedures, and local practice can change and may vary by county. If you have a deadline, act promptly and speak with a licensed North Carolina attorney.

Category: Real Estate Q&A Series

Author: jpierce

Attorney Jared Pierce is the founder of Pierce Law Group in Raleigh, North Carolina, a firm he established with a dedicated focus on probate administration and estate planning across North Carolina. Born and raised in the Republic of South Africa, Jared moved to Durham with his family in 2001, bringing with him a rich cultural background and a distinctive accent that often serves as a conversation starter.