Is it permissible to purchase an investment property in a foreign country that is managed by a private company with an annual profit margin of 8%?

It is permissible to purchase real estate in a foreign country for investment purposes and to contract with a company for its management for a known fee or a percentage of the revenue, provided that the property is not rented to anyone who would use it for an act of disobedience (maʿṣiyah).

If "only 8% annual profit" means that your share of the profit is 8% of the property's rent, and the company gets 92%, then your percentage is very low. However, if it means that you receive 8% of the property's value annually, then this is impermissible and a stratagem for usury (riba).

The following conditions are stipulated for this transaction: 1. Ensuring that the property is purchased for your benefit and that you have full ownership of it. 2. Knowing the nature of its investment, and ensuring it is not rented for a forbidden purpose. 3. Agreeing with the managing company on a known fee for them, or a percentage of the income, with mutual consent from both parties and the transaction being free from deception or fraud.