Halal (lawful) Mortgage

Poppy9

Intersting article here on the BBC website which explains the principles of Islamic mortgages. No matter how they try to circumventing Islamic law and dress it up the banks are benefiting financially still profiting off borrowers.

BBC

Phonix

its sad really...that they not making it any easier for muslims...its rather a profit making opportunity for most of these providers

Offering a mortgage where no interest has to be paid is a profit making exercise? They must be profitting in someother way so how are these Islamic mortgages viable alternatives for muslims?

I guess the corporations will compete on these Islamic style mortgages, but I think that's to be expected. The competition will surely be limitied though? because of the lack of flexibility, or do these Islamic mortgages vary.

Also can I get an Islamic mortgage if I'm not a muslim? If so is there anything in shariah about how Islamic mortgages are dealt with for non-muslims?

I'm also not compeltely keyed up on the terminology of shariah.

In sharia does the term 'dilemma' apply to non-muslims seeking islamic mortgages, and as I believe the reduced rights of dilemmas apply to housing surely they apply to islamic mortages?

tiger

phonix any one can have halal morgage .that is is entirely upto you.the way i see it the halal morgag emay tend to be slightly more expensive than ordinary morgage.
did you hear about this new system the government trying to introduce? this where they buy the property let youleave there and pay the rent?
i think the halal morgage market in uk is functioning in in similar way.the bank buy the property,rent it to you ,you pay rent (at same time buying the property)

Phonix

phonix any one can have halal morgage .that is is entirely upto you.the way i see it the halal morgag emay tend to be slightly more expensive than ordinary morgage.

If Islamic mortgages are based on shariah, are there any aspects of these mortgages that are not available to the dilemma, ie the non-muslims, who as layed out in shariah have less rights than muslims. I say this because I think there are particular referencs to the dilemma and housing in shariah law.

margaretclare

Phonix wrote:

They must be profiting in some other way so how are these Islamic mortgages viable alternatives for muslims?

This is the point I was trying to make. The profit has to come from somewhere otherwise none of the lenders would bother to do it. Unless it's thought that the profit comes from rent instead of interest? But there have been rental-purchase schemes before only perhaps not so much in housing - hire-purchase of e.g. a car or any other large purchase is an example of that. But with HP you 'buy' the item over a specified period, but you also pay interest, otherwise the provider has no incentive to bother with it at all!

'Sharia' as I understand it is a complete set of religious laws as opposed to secular. But even there, the rules in the holy book have to be interpreted by fallible human beings.

Aunty Margaret

Phonix

This is the point I was trying to make. The profit has to come from somewhere otherwise none of the lenders would bother to do it. Unless it's thought that the profit comes from rent instead of interest? But there have been rental-purchase schemes before only perhaps not so much in housing - hire-purchase of e.g. a car or any other large purchase is an example of that. But with HP you 'buy' the item over a specified period, but you also pay interest, otherwise the provider has no incentive to bother with it at all!

Even if there is profit from rent, if they want to live here they will have to pay for this. I know that sounds harsh but no bank in this country is going to lend anyone money or assets without making some sort of profit and it would be unfair to give muslims preferential treatment, whilst the rest of us are ladened with interest charges.

Or for that matter whether such 'schemes' should be branded Islamic mortages if other schemes with the same objective are no different.

There must be something besides this which makes them special. Are they supposed to be blessed?

charlesworth82

Hi everyone - thanks for all the responses - logged on today hoping for a reply and was already down to the third page.

Have found a web site called hazariba.com which explains about interest for anybody who is interested.

Thanks again, J

Phonix

Later, the clerics of Jews and Christian Church abandoned the prohibition of Riba (interest, usury) that led the mankind into the economic anarchy of the present era.

Is that actually true? Seems a little harsh to blame it on the christians and jews.

Could you possibly make a seperate thread about this on another board? I wouldn't mind discussing these issues without this thread going a little off topic.

deemy2004

Economic anarchy ........... :rolleyes:

What anarchy ?

Interest is good ! (recievable)

There are many halal credit cards on the market - admitedly they are only halal for between 6 to 12 months ... :rotfl:

YorkshireBoy

deemy2004 wrote:

There are many halal credit cards on the market - admitedly they are only halal for between 6 to 12 months ... :rotfl:

And occaisionally even 18 months!

Very, very good Deemy!:rotfl: