1) in chawls deals are done on basis of notarised agreement for sale

2) for your own safety it is better to purchase the room from seller by registered sale deed

3) it is also necessary that agreement between builder and seller should be registered

4) if only equitable mortgage is being created by deposit of title deeds of room it also requires registration

If you are taking property in exchange of the money you lent to her, you are in losses as you will also be paying 265000 to the builder.

The better idea would be to sell the flat and get the whole money. As you are saying it won't be sufficient to meet the money you lent to her, you must get a deed done in favor of you that you will be receiving the sum amount from her that she can pay later on.

If it is not possible to execute registered sale deed then don't purchase the property

2) obtain in writing from lady that sum of Rs 7 lakhs has been taken as loan

3) that she shall return loan amount within x period

4) she can give you post dated cheque for the loan amount

5) execute promissory note to pay the loan amount by x date

6) no need to register loan agreement

You can file summary suit under order XXXVII of code of civil procedure to recover your outstanding dues

2) interest can be mentioned on loan amount

3) I presume this is an isolated transaction of loan given by you and you are not carrying on business of money lending

1. It appears that she has not got title of the property registered in her name and no title of a property can be acquired by any body unless the deed of conveyance of the title is registered after paying the required stamp duty and registration fee.

2. She does not have title of the said property for which she can not transfer any better title to you.

3. It is not understood why no registration can be done in that area.

4. What is the use of entering in to an agreement of sale when the sale deed will not be registered? Without registering the sale deed, no property can be owned by the buyer.

5. File a recovery suit claiming refund of the amount paid to her towards loan with interest at bank rate, damage and cost.

1. Promissory note need not be hand written. It can be claimed with in 3 years.

2. The seller shall have to first acquire title of the property from the developer and then transfer her title to you. To save payment of stamp duty twice (once for her registration and another for your registration), she can arrange to get the sale deed registered between the developer and you wherein she will stand as a confirming party.

3. Get a loan agreement executed preferably keeping a n immovable property mortgaged with you by depositing title deed of the said mortgaged property.

1. Such post dated cheques collected before hand is considered as security cheques and not as cheques issued for making payment for which dishonour of such security cheques are not considered to be covered under Negotiable instrument Act by Supreme Court.

2. Get the title deed of an property deposited with you with a letter of mortgage to secure the loan given by you to her.

3. filing of recovery suit will take ages to be disposed off when the lady or you may not even be alive. Moreover, the lady may not be able to pay you the borrowed amount with interest after getting the Court order for which your execution petition will take another few long years.

4. If you secure your loan with mortgaged properties, you will be able to recover the lent amount by selling of the mortgaged property after the stipulated period with court order.

There if no point in getting an agreement on that property which is not having a registered title on her name.

An unregistered sale deed or sale agreement in yor favor cannot be enforced in law.

You may obtain loan agreement in a NJS paper besides obtaining a promissory note and a duly signed blank cheque.

so i understand that there is requirement for Sale deed to be registered between me and the Seller.

Secondly builder and sellter should have their agreement registered but what if this two things are not possible???

If these two thing do not happen then you may not be able to claim the property as compensation for the loan amount from her.

Can i make a promissory note or Loan agreement and can it be registered for perfect recovery of my dues in future??

Promissory note need not be registered ;

I understand that promissory note has validity of only 3 years and it should be handwritten.. is it true

Yes it has to be written by hand with witnesses for the execution of the promissory note.

So should i Make a perfect loan agreement and get it registered..?

Whether you register the loan agreement or not, it is valid only for three years.

So what if she fails to do so after 3 years and than what further claims i can make to recover??? Can i file a suit later on??

You can file a money recovery suit to recover the loan on the basis of loan agreement document and promissory note.

Also can i mention interest on loan given in promissory note??

Yes you can claim interest through a mention in the promissory note.

1. The basic law is that a seller cannot convey a title better than his own title. If the title of seller is defective, and he conveys it, the title of the buyer will also be defective. The title originates from the sale deed, not the sale agreement.

2. If you want to recovery money from her then instead of getting a property the title of which is defective, tell her to execute a promissory note in your favour.

1. Promissory note will make her liable to repay the loan with the agreed rate of interest, failing which she can be sued for recovery through a summary suit for recovery in the civil court.

2. Get the note drafted by a lawyer.