I have entered into an agreement with a builder to buy a villa in Bangalore. The villa is under construction and my payments are based on the construction progress. I have paid 80% of the cost already. Upon my insistence the builder has now come forward to execute and register a sale deed in my favour for the land area and the to be constructed built up area of the villa. However, he is insisting that a) I give him post dated cheques for the remaining 20% and b) saying that he will retain the original sale deed until all the post dated cheques are cleared.
I would like to know if just executing the sale deed and registering the sale deed gives me any security with respect to my property although the builder will retain the original sale deed. Secondly, is there any possibility that the builder can commit fraud with the original sale deed he retains until I complete making all payments.