Is it permissible to purchase a house in installments from an institution that claims to operate according to Islamic Sharia, with an added profit, while its capital originates from an interest-based institution?
It is permissible for the entity to sell the house after acquiring ownership of it and it coming under its guarantee, then selling it in installments with a profit, because "time has a share in the price." It does not affect the transaction that the institution is a branch of an interest-based bank, as long as it adheres to the provisions of Islamic law.
Summarized from the full answer at Ftawy · reviewed Sep 2, 2026
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