Some trouble areas to steer clear of with islamic home financing

Banks are becoming ever more vigilant about who they lend their money to and even when you’ve decided on Islamic home financing, you need to make sure you do everything in accordance with their requirements. The very success of your islamic mortgage financing could depend on your staying away from these pratfalls.

• It’s important to avoid making large purchases even after you’ve got the loan lined up. Banks have even been known to pull approvals from borrowers  after they make a big purchase like a car before finalizing the mortgage.
•  Lenders are also looking at your stability when it comes to your employment before finalizing any loans, so you need to stay with the same career for a period of time after you decide to apply for  Islamic home financing.

Finally it doesn’t matter whether you’ve decided on Islamic home financing or more traditional Western-style loans , there will be closing costs like appraisal fees and other  money that needs to be put aside for the lawyers. Getting a mortgage loan is the beginning of being financially prudent in your affairs so that you can watch the equity grow over time as you pay the principal down.