The Future of Islamic Home Finance in Australia
For over two decades, Islamic finance has been touted as the ‘next big thing’ in the global financial landscape. Despite its exponential growth in various countries, it remains a relatively small segment in most markets. However, its recent introduction in Australia signals a new chapter, particularly in the realm of home finance. Spearheading this movement […]
Understanding the Basics of Islamic Home Finance
Islamic home financing, a unique and ethically grounded approach to buying a home, stands in contrast to conventional mortgage systems. Central to Islamic finance is the prohibition of riba, often translated as “interest”, which is considered unethical and exploitative in Islamic economics. This makes Islamic home financing appealing not only to Muslims but also to […]
Who is Sharia Finance?
Learn about the Sharia Finance difference and what makes us different when compared to a direct to bank approach.
What is Islamic Finance?
Islamic Finance is a form of finance that prohibits the payment of interest from the funder to the borrower.
Conventional Finance Vs Islamic Finance
Islamic Finance in Australia is a growing industry. Once of the challenges with obtaining Islamic finance in Australia…
Ijaah Munthaia Bittamaleek
This is a form of lease agreement, where a funder will finance an asset with an agreed rental instalment.
Ijarah wa-iqtina
This is a form of lease agreement, which differs from Ijarah Munthaia Bittamleek in that it has a gift component.
Diminishing Musharakah
Diminishing Musharakah is a type of finance contract where there is a ‘co-ownership structure’.
Murabaha Finance
This is a form of Islamic finance where the funder and the buyer agree to the markup of an asset.
What determines borrowing power?
Funders take into consideration a variety of variables when calculating how much they will…