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What is the ruling on taking a housing loan from Al Rajhi Bank or Samba Bank according to the stated conditions, and is this transaction, including the bank's 20-day agreement with the owner, Islamically sound, thus ensuring the bank does not sell what it does not own, and is it permissible for an employee to purchase a house with such a contract?

1 min readAlso available in العربية

Murabaha sale to a purchasing agent is permissible if the bank acquires ownership of the house and takes possession of it before selling it to the employee. A condition for this transaction is that the bank bears responsibility for the destruction of the commodity before delivery and for its hidden defects after delivery.

To guard against the employee's retraction, the bank, when purchasing the house from the original seller, may buy it with a conditional option for a specified period (such as three days or more). This allows the bank to return the house to the seller if the employee decides against it. The bank is permitted to offer the house to the purchasing agent during the option period.

However, if the bank does not purchase the house but merely enters into an agreement with the owner, this is not considered ownership. Selling it to the employee in this case would be impermissible because the bank would be selling what it does not own.

Summarized from the full answer at Ftawy · reviewed Sep 2, 2026

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