The Pros and Cons of Using A Halal Mortgage to Buy a Condominium

Some people want to have an Islamic investment in property, but they don’t need all the space a house provides. For those people, a condominium may be a better choice. However, there are some things that are a little different about this particular kind of real estate purchase.

Here’s everything you need to know about using your Halal mortgage to buy this type of real estate.

Like every other type of real estate, a condominium has both disadvantages and advantages. Here are some of the reasons buying a condo is considered a bonus.

The Pros of Owning a Condo

  • They have fewer repair and maintenance responsibilities than a house. For the most part, the rules you’ll encounter regarding both maintenance and repairs are generally the same. Condominium owners are usually not responsible for common areas of the building such as lobbies and laundry rooms. However, they are typically responsible for things inside their unit like electrical systems, appliances, fixtures and plumbing.
  • Condominiums often have several different on-site features like a swimming pool, sauna and fitness equipment. If you own a home, you might not be able to afford these amenities.
  • Most homes do not have the security features contained in many condominiums. If you are thinking about buying one of these, there are some things to consider. Remember, there are only two points where someone can break into a condo. That’s why you should look for good locks on doors and windows. If the window slides on a track, it should be secured with a metal rod. Window stoppers are another common feature on modern condo buildings.

The Cons of Condo Ownership

You’ll be buying a condo with a Halal mortgage so you don’t need to worry about riba. However, there are a few disadvantages to owning this kind of real estate.

  • You can lose a certain sense of control over part of your purchase. For example, condominium ownership means you can vote on but not decide by yourself when repairs and maintenance are done.
  • Some condominium units in metropolitan areas have limited space compared to a house.
  • There are usually restrictions on things like pets, parking and noise level. This can even extend to the style and color of items like window coverings and doors.
  • Some people find they pay for amenities they don’t use because they are part of the package.

Finally, you must factor in the issue of privacy when downsizing from a single-family dwelling to a condominium. Buying a unit means sharing walls, as well as outdoor spaces and common areas with neighbors. If privacy is important to you, condominium life may not be a good fit.

Any type of real estate is a significant Islamic investment. A condominium is no different. If you are considering buying a condo unit, ask if steps have been taken to lessen noise between the walls. You should also find out who maintains and operates the air-conditioning and heating systems.


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