I have invested my money with a real estate broker who gave me a study of an investment of buying 6 lands which will have a profit of almost 10-12% as soon as the lands will be sold, with the condition that if I need to withdraw my money earlier before the completion of the project, I?ll get my money back with only 5% profit. 2 lands were sold from these 6 and I have earned good profit in both of them. Now I need the remaining amount invested and I?ll get back only 5% profit. Is this considered as interest (Riba) because it’s a fixed amount?
This is not considered interest as the profit is based on a percentage.
and Allah Ta’ala Knows Best
Mufti Ebrahim Desai