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INSAAF

Financial Solutions That Save People From Riba

 

About our Company

Our shariah-compliant financing solutions are here to help you to meet your property, vehicle or commercial need. Our mission is to see our community living a peaceful shariah-compliant financial life within the next 10 years.


Shariah Compliant Islamic Home Finance

Secure Your Home with Our Shariah Compliant Mortgage

Welcome to our guide on Islamic Home Finance, designed to help you secure your dream home while adhering to Shariah principles. Our Shariah-compliant mortgage offers an ethical and Halal financing solution, ensuring your financial decisions align with your values.

We believe in partnerships that prioritize trust and mutual respect, offering you peace of mind as you make one of life’s most significant investments.

Shariah Compliant Islamic Home Finance
Islamic Home Finance

Why Choose Islamic Home Finance?

Choosing Islamic Home Finance means opting for a system that is not only compliant with your religious beliefs but also transparent and fair. Here are some key reasons to choose our Islamic Home Finance:

Ethical and Halal Financing

Our products are designed to be Shariah-compliant, adhering strictly to Islamic principles. This ensures you can finance your home in a way that aligns with your faith.

Avoidance of Interest (Riba)

Traditional mortgages involve interest payments, which are prohibited in Islam. Our Shariah-compliant products use alternative structures that avoid interest, ensuring your financing is Halal.

Transparent and Fair

Our financing models are transparent, with no hidden charges or fees. We believe in fair and ethical practices, providing you with peace of mind.

Flexible Payment Terms

We understand that everyone’s financial situation is different. That’s why we offer flexible payment terms to suit your needs.

Affordable Rates

Our competitive rates ensure you get the best deal possible, making homeownership more accessible.

Fast & Easy Application Process

We strive to make the application process as smooth and straightforward as possible, with minimal paperwork and quick approvals.

Understanding Islamic Home Finance

Islamic Home Finance is based on Islamic law (Shariah), which prohibits the payment or receipt of interest (Riba). Instead of traditional mortgages, which involve interest, Islamic Home Finance structures use profit-sharing, cost-plus profit and rent-to-own models. These methods ensure that the financing process is ethical and compliant with Islamic principles.

Islamic Home Finance

Types of Islamic Home Finance Structures

There are several Islamic financing structures used to provide home finance. Here are some of the most common:

Murabaha (Cost-Plus Financing)

In a Murabaha transaction, the financial institution buys the property and then sells it to the buyer at an agreed-upon profit margin. The buyer pays for the property in installments. This structure is straightforward and transparent, as the profit margin is agreed upon upfront.

Ijara (Lease to Own)

In an Ijara arrangement, the financial institution buys the property and leases it to the buyer. The buyer pays rent for the use of the property. Over time, the buyer makes additional payments to purchase the property from the financial institution. This method allows for flexible payment terms and gradual ownership transfer.

Musharaka (Partnership)

Musharaka involves a partnership between the buyer and the financial institution. Both parties contribute to the purchase of the property. The buyer gradually buys out the financial institution’s share of the property over time. This structure promotes shared risk and reward.

Diminishing Musharaka

This is a variation of the Musharaka structure. The financial institution and the buyer jointly purchase the property. The buyer makes periodic payments to gradually acquire the institution’s share. Over time, the buyer becomes the sole owner of the property.

Home Finance

In an Ijarah agreement, the financial institution purchases the property and leases it to the buyer, who pays rent for its use. The buyer gradually makes additional payments to eventually buy the property from the institution. This approach provides flexible payment terms and a gradual transfer of ownership.

  • Citizen or permanent residence of Australia
  • Valid Australian driver license (Learner is not acceptable)
  • Insaaf Membership Number
  • Good Credit Score
  • A guarantor (Citizen of Australia) Note that Insaaf reserves the rights to accept or reject the Guarantor
  • Minimum 20% upfront (Based on finance assessment, it could be more than 20%)
  • A caveatable property (Land/house/town-house/apartment/unit)

Liabilities

Last statement for each credit card (if you have one)
Any account closure letters from past 3 months (if you have one)
Last 3 months statement on any other debts (Mortgage, vehicle finance, personal finance etc) (if you have one)


Assets details

Council rates
6 months mortgage finance statement (if you have one)


Proof of citizenship/residency

Australian Passport
Proof of permanent residence


Proof of your residential address

Any utility bills (e.g., gas, electricity, council tax, etc.) with your name and address on them. 
Rental agreement

 

Application processing fee

It varies $550.00 to $1,500.00 GST excluded (non-refundable)

 

Facility fee

2.5% of approved finance amount before finance settlement (non-refundable)


Legal fee

Legal fee will be applicable before finance settlement (non-refundable)


Application processing time

Estimated 8-12 weeks. (Please make sure that you have provided all the required documentation, otherwise it could get delayed)


Documentation format

Please ensure that your documents are complete and high-quality scan of the original document. A high-quality
scan is one that is clear, legible, and should be free from poor contrast, shadow, obstruction, blurry and with no cropping or pixilation. Please ensure all the documents in PDF format.

Insaaf Australia Pty Ltd

Insaaf Home Finance Calculator
Note: All figures are estimated. Actual results will be provided in the uncondiontional approval.
 

Contact Us

Home Finance Enquiry Form
Insaaf Team