Mu' meneen Brothers and Sisters,

As Salaam Aleikum wa Rahmatullahi wa Barakatuh.  (May Allah's Peace, Mercy and Blessings be upon all of you)

 

One of our brothers/sisters has asked this question:

Dear Brother Burhan,

Thanks for emails and it is very helpful for us specially in Japan.

Now I need a guidance from you about the loan.
Because of some groups told it is Halaal and some told that it is Haraam.

Here in Japan, some of our brothers are buying the home by the system of installment.The banks are taking intrest for the loan.It is also difficult to buy a home in Japan by cash.The price is very high as well as there are some taxation problems if we buy in full cash payment.

Some mosques and musallah are estabalished by the Rahmah of Allah (subhaana taala ) and the work of Dawwah.Madarasah for children available in some mosque.So we want to change our home near the mosque for the future of our children`s life.

Is it Halaal for us to buy a home by loan in above condition ?

Waiting for your reply,

Jazaakallahu Khair.

 

(There may be some grammatical and spelling errors in the above statement. The forum does not change anything from questions, comments and statements received from our readers for circulation in confidentiality.)

 

Answer:

 

Buy home interest mortgage

In the name of Allah, We praise Him, seek His help and ask for His forgiveness. Whoever Allah guides none can misguide, and whoever He allows to fall astray, none can guide them aright. We bear witness that there is no one (no idol, no person,  no grave, no prophet,  no imam,  no dai,  nobody!) worthy of worship but Allah Alone, and we bear witness that Muhammad (saws) is His slave-servant and the seal of His Messengers.

 

Allah says in the Holy Quran Chapter 2 Surah Baqarah verse 274-276: But those who devour ‘riba’ become like the one whom Shaitaan has bewitched and maddened by his touch.   They have been condemned to this condition because they say,  “Trade is just like ‘riba”,  whereas Allah has made trade halaal and ‘riba’ haraam.   Henceforth,  if one abstains from taking ‘riba’ after receiving this admonition from his Lord,  no legal action shall be taken against him regarding the ‘riba’ he had devoured before:  his case shall ultimately go to Allah.   But if one repeats the same crime even after this,  he shall go to Hell,  where he shall abide for ever!   Allah deprives ‘riba’ of all blessing and develops charity,  and Allah does not like an ungrateful,  sinful person.

 

Allah says further in the Holy Quran Chapter 2 Surah Baqarah verse 278: O Believers!,  fear Allah and give up that ‘riba’ which is still due to you,  if you are true believers.   But if you do not do so,  then you are warned of the declaration of war against you by Allah and His Messenger!

 

Allah says in the Holy Quran Chapter 4 Surah Nisa verse 161: That they took ‘riba’,  although they were forbidden.  And that they devoured men’s substance wrongfully.   We have prepared for those among them who reject faith a grievous punishment (of Hell Fire)!

 

Al-Tirmidhi Hadith 2829        Narrated by Ali ibn AbuTalib

Ali heard Allah's Messenger (saws) invoke the curse of Allah on those who took ‘riba’, those who paid it, those who recorded it, and those who refused to give sadaqah.

 

Allah and His Messenger (saws) have strongly condemned the concept of ‘riba’ and declared it absolutely haraam for the believers.  Without an iota of a doubt, the  concept of conventional bank ‘interest’ is a form, manifestation, and part of ‘riba’ or usury, and thus any transaction based or done on the concept of ‘interest’ would be considered absolutely forbidden for those who sincerely believe in Allah and the Last Day.

 

If taking a mortgage for buying a home or for any other reason involves the payment of ‘interest’, such a transaction would be deemed haraam in the sight of Shariah, and any believer who sincerely believes in Allah and the Last Day must abstain from it.

 

If your intention is to live closer to the Mosque and Islamic learning centre, you could either buy the house in cash or if that is not possible, you can always rent a house near the place of your choice; but to buy a house on an interest-based loan should not even be an option for one who sincerely believes in Allah and the Last Day.

 

Whatever written of Truth and benefit is only due to Allah’s Assistance and Guidance, and whatever of error is of me.  Allah Alone Knows Best and He is the Only Source of Strength.

Your Brother in Islam,

 

 

Burhan