Posted by: islamicfinancingnews | March 5, 2013

Islamic mortgages free from Riba can help when you’re ready to buy a home

kita-disyorkan-memilih-islamic-loan2 Having a basic knowledge of Islamic finance is important for practicing Muslims who are thinking of transitioning from renter to homeowner and want to be sure the financing they rely on avoids riba and conforms with other principles of Sharia law.

Some people worry about being able to save the minimum down payment amount and meeting the ongoing maintenance costs involved in purchasing a home. However, there is a long-term investment advantage to owing a principal residence rather than paying the cost to rent a house or some other type of rental property. Once you purchase a home, mortgage payments become like rent in that they are a financial commitment you are required to fulfill every month, but the difference is mortgage payments contribute to equity in the long-term as most homes that are properly maintained will increase in value over time. In addition, there is a feeling of satisfaction that comes from living in a home you choose to decorate or renovate to your liking while providing you with more financial security over time.

If you’re thinking of changing your status from renter to a homeowner, you need to consult with a lender who can discuss with you the advantages of making this kind of transition with the help of alternate financing programs like Islamic mortgages free from Riba.

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )


Connecting to %s


%d bloggers like this: