��������Ƶ

The Promissory Note Secured By Real Property is a vital instrument in Australian secured lending transactions, combining the simplicity of a promissory note with the security of real property collateral. This document is typically used when a lender requires both a formal acknowledgment of debt and security over real estate assets, common in private lending arrangements, property development financing, or structured real estate transactions. It must comply with both federal legislation (such as the Bills of Exchange Act 1909) and state-specific property laws. The document includes essential elements such as the promise to pay, payment terms, property description, security provisions, and enforcement mechanisms. It's particularly useful in situations where traditional mortgage financing through financial institutions may not be suitable or desired.

1. Parties: Identification of the Lender (Payee) and Borrower (Maker) including full legal names and addresses

2. Background: Brief context of the loan arrangement and security provision

3. Definitions: Key terms used throughout the document including Property, Security Interest, Event of Default, etc.

4. Promise to Pay: The fundamental promise to repay the principal amount with details of the sum, interest rate, and date(s) of payment

5. Payment Terms: Detailed payment schedule, method of payment, and application of payments

6. Security Interest: Description of the real property security and creation of the security interest

7. Representations and Warranties: Borrower's declarations regarding property ownership, authority to grant security, and absence of other encumbrances

8. Events of Default: Circumstances constituting default including missed payments, breach of obligations, and property-related defaults

9. Remedies: Lender's rights and remedies upon default, including acceleration and enforcement of security

10. Governing Law: Specification of Australian law and relevant jurisdiction