Fatwa ID: 05685
Answered by: Maulana Yusuf Khan
I am a 20-year-old young man who has invested with two of my friends into Pre-construction properties valued at 459k and 439k. The original plan was to sell the properties before it is built to gain profits from the time we put our money down as capital gains. But now the condo is finished and nobody is really purchasing or viewing our units to purchase. Now our last option is to close the unit and get a mortgage or we to lose all the money that we have invested.
I am in a hole and a very bad spot if I lose the money and this investment.
My question is about mortgage because that is the last option.
- I have had some people from different mosques give me information such as if somebody pays the full interest amount to the bank forward for you then it is allowed
But I’d like to know if that is permissible or allowed or if there is any other possible way or route I can possibly do this.
In the name of Allah, the Most Gracious, the Most Merciful
It was narrated from Abu Hurairah that the Messenger of Allah (ﷺ) said: “There are seventy degrees of usury, the least of which is equivalent to a man having intercourse with his mother.” 
The hadeeth above shows the severity of the sin of usury-based transactions. It is something which is to be avoided at all costs as prohibition is clear from texts of Qur’an and hadeeth.
In this, situation, if someone pays interest to the bank on your behalf the transaction of riba, would still take place. So that is not a solution, rather a better solution would be to look if you can get an Islamic mortgage or whether you can borrow money from close friends and family.
“And whoever fears Allah – He will make for him a way out. and provide for them from sources they could never imagine. And whoever puts their trust in Allah, then He ˹alone˺ is sufficient for them. Certainly, Allah achieves His Will. Allah has already set a destiny for everything.” (Surah Talaq- Verse 2-3)
The verse above displays the importance of adhering to the laws of Allah SWT, whoever does this whatever difficulty they face will overcome the difficulty through the trust he has in Allah SWT.
Only Allah knows best
Written by Maulana Yusuf Khan
Checked and approved by Mufti Mohammed Tosir Miah
Darul Ifta Birmingham