Assalaamualaikum,
I’m from Raleigh, North Carolina State. I’m in the market to buy a new house and shopping for Islamic home financing.
I have UIF – University Home Financing and Guidance Residential offering their Islamic Financing Services in our region.
I also have the Builder CalAtlantic Homes (now called as Lennar) offering Mortgage from their Home financing business called CalAtlantic Mortgage.
UIF and Guidance are approved Islamic financing models. Please advise, is obtaining the loan from the builder is permissible and allowed in Islam as there is possible involvement of Riba?
Jazakum Allah Khair for your time and advise۔
الجواب وباللہ التوفیق
We don’t know about these builders, therefore, until we know we can’t give an opinion about getting a loan from them. Furthermore, when you even see the possibility of interest loan there, then it’s more necessary to stay away from them.
واللہ اعلم بالصواب