I want to borrow the down payment money required for a contract for deed purchase offer, but want to ensure that the person I borrow from is registered on the deed. Is that allowed and how is it done?

If you are entering into a contract for deed, then you generally do not get the deed transferred until the contract is satisfied. All that should be necessary is for the person to be a party to the contract. When the contractis satisfied, the deed would be registered to the parties to the contract.