Is it permissible to purchase a house or an apartment in a housing cooperative that relies on a system of buying shares in a housing company, knowing that this company may obtain usurious loans from banks to cover the costs of major renovations, and the buyer pays a portion of these loans?
Source: FtawySummary from Ftawy's records · added here Sep 2, 2026
It is not permissible for a housing company to borrow with usury, nor to contribute to it as long as it engages in such practices. Borrowing with usury is a grave sin and carries severe warnings. If the buyer is the one borrowing from the bank to pay for the apartment, this is even more prohibited. It is forbidden to purchase apartments with usury, and high housing prices do not make usury permissible. One can rent a dwelling or seek permissible alternatives, such as someone who buys an apartment and then sells it in installments.
Summary from Ftawy's records · added here
Reviewed by El Fatwa's sharia committee.
Read the full answer on Ftawyhttps://ftawy.com/en/questions/16298
Where this answer came from
- Source platform
- Ftawy
- Original fatwa ID
- 16298
- Added here
- . This is when the answer was added to El Fatwa, not the fatwa's date.
- Text
- Summary from Ftawy's records, reviewed by El Fatwa's sharia committee.
- Read the full ruling
- Read the full answer on Ftawy