Power of attorney - is mandatory for home loan?

You have to enlcose the copy of previous document (from whom the seller purchased the site/house and some times link documents), salry certificate from your employer, EC for 30 years.  If you purchase the house from builder cum POA agent, the POA is necessary.  Otherwise POA is not necessary. consult the Branch Manager of the loan institution.

Please do not assume things on your own, contact a banker and get to know things, a power of attorney was never insisted in any Home Loan in Banks according to my knowledge.  They only seek equitable mortgage of the asset created out of borrowed funds.  The memorandum requires stamp duty in certain states, and the stamp duty is naturally added to the cost of the house/asset.  (Just like other taxes in assets)