Is it permissible to buy houses based on the Guidance residential website?
Question
I was looking into the halal way of buying home options in USA and found some fatawa's on the Guidance residential website following is the link, http://www.guidanceresidential.com/guidance-fatawa/. Wanted to check with you if buying home based on these fatawa's with guidance is okay?
Answer
In the Name of Allah, the Most Gracious, the Most Merciful.
As-salāmu ‘alaykum wa-rahmatullāhi wa-barakātuh.
We have perused the official website of Guidance Residential and observed the following
1) Guidance Residential offers financial services based on the diminishing partnership model.
2) Guidance Residential has a Shariah Board.
While we observe on the website that there are esteemed Ulama on the Board, in order for us to advise you, it is important for us to study the actual contract that represents the model in reference.
It is also important to find out if there is an in house Alim having experience in Islamic Finance to supervise the proper implementation of the contract.
We are unable to issue a fatwa merely based on a concept until we are sure that the concept is correctly understood and implemented.
While we appreciate the efforts of sincere and competent people to establish and promote Islamic Finance, we have been made aware of many irregulations in Islamic Finance. We have thus adopted a cautious view in issuing fatwa’s on the various models of Islamic Finance.
And Allah Ta’āla Knows Best
Ismail Dawoodjee
Student Darul Iftaa
Zambia
Checked and Approved by,
Mufti Ebrahim Desai.
- Answered by
- Ismail Dawoodjee
- Checked & approved by
- Mufti Ebrahim Desai
Fatawa SA is an independent, read-only index of fatawa already published by Darul Iftaa Mahmudiyyah (AskImam). It is not a fatwa service. For your own situation, ask the issuing Darul Ifta directly.