What is the ruling on taking an interest-based loan from a bank to purchase a house?
Source: FtawySummary from Ftawy's records · added here Sep 2, 2026
First: It is not permissible to borrow with interest from usurious banks unless there is a compelling, legitimate necessity.
Second: Islamic banks conduct legitimate financing transactions such as (Murabaha, Istisna'a, Muntahia Bil Tamleek, and diminishing Musharaka). One must understand the nature and conditions of the transaction to pass judgment on it.
Summary from Ftawy's records · added here
Reviewed by El Fatwa's sharia committee.
Read the full answer on Ftawyhttps://ftawy.com/en/questions/163786
Where this answer came from
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- Ftawy
- Original fatwa ID
- 163786
- 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