Payment terms - PGN Property

If you are selling your flat and the buyer proposes to pay a portion of the amount in cash (black money) after registration, you must be extremely cautious. Here are key safety measures to protect yourself from potential risks:

1. Ensure Full Payment Before or at the Time of Registration

Always insist on receiving the full payment on or before the property registration.
If the buyer is availing a home loan, the bank will typically issue the cheque at the time of registration.

2. Avoid Deals Where Payment is Promised After Registration

If the buyer wants to pay the entire amount after registration, this is a major red flag. Such deals are often fraudulent, and you may risk losing both the property and the payment.

3. Consider a Supplementary Agreement for Partial Pending Payments

If the buyer has already paid 98% of the agreed amount and only a small portion remains, you may draft a supplementary agreement on a ₹500 stamp paper.
This agreement should clearly state that you will retain the original sale deed and other key documents until the pending payment is completed.

4. Be Cautious About Higher Pending Amounts

A supplementary agreement is typically suitable for small pending amounts (e.g., up to ₹2 lakh for a property worth ₹1 crore).
If the pending amount is higher (e.g., ₹10 lakh or more), some buyers may misuse legal loopholes. They might claim they have lost the original sale deed, obtain a certified copy, and avoid paying the remaining amount.

5. Seek Professional Assistance

To ensure a legally safe transaction, consult an expert. We provide professional consultation on real estate transactions.

📩 For inquiries, contact us:
📧 Email: pgnproperties@gmail.com
📱 WhatsApp: +91-97424 79020

Thank you for reading! Stay informed and transact safely.

The payment of resale flat be made either before or after, but payment mode should be Banker’s cheque or DD.

Avoid cash and individual cheque.

If buyer opts for home loan, bank representatives present in sub-registrar office at the time of sale deed registration. Bank representative handover the Cheque or DD as soon as registered sale deed handover to bank’s representative. (It means payment is made after registration. )

If self-finance, payment is made immediately either before or after sale deed registration. prefer DD and avoid cheque.

It’s important to mention DD number in sale deed so that you can establish the evidence in court if any unrecovered dues or failure to deliver the possession.

In general, the payment terms for resale property are as follows

Token payment: which could be Rs. 10K -50K
5%-20% of consideration value at the time of sale agreement signing (For example buying price is Rs. 50 lakh, the payment could be Rs. 2.5 – 10 Lakh)
Before scheduling the sale deed registration, buyer should show Bank’s cheque or DD of considerable value to seller.
handover the DD in sub-registrar office (either before or after registration)
The seller handover all the property documents and property key to buyer.

This completes the payment process.

The payment terms are mutually decided by seller and buyer. Before the sale proceeds, payment terms are planned and mention in sale agreement which includes the numbers of payments, dates, and amount.

We provide end-to-end assistance to execute sale agreement. To opt for our service, please write to us pgnproperties@gmail.com or Whatsapp to +91-97424 79020.

Thank you for reading….