Category: Islam

Lock down Islamic financing at low costs so you can finally have the home you always wanted.

May 24, 2024

Islamic and Behavioral Economics Guidance on Home Buying

Purchasing a home is one of the most significant decisions we make in our lives, involving not only financial considerations but also deep emotional and cognitive involvements. Drawing from the behavioural insights in Daniel Kahneman's Thinking, Fast and Slow, and deeply rooted Islamic teachings, this blog post offers a personalised exploration of how to navigate […]

May 17, 2024

The Emotional Rollercoaster of Home Buying: An Islamic Perspective

Purchasing a home is more than just a financial transaction; it's an emotional journey filled with highs and lows. From the excitement of finding the perfect property to the disappointment of losing out on a bid, each step tests our patience, resilience, and faith. In Islam, this journey is seen as an opportunity for personal […]

December 17, 2023

Navigating Property Equity

In the Australian financial landscape, the strategic use of property equity stands as a pivotal approach to wealth augmentation. At Afiyah Islamic Finance, we are attuned to the nuances and potential of this strategy within the framework of Islamic finance. This blog delves into the use of property equity for investment, enriched with the principles […]

June 28, 2023

Everything you need to know about Gharar

Gharar, also known as excessive uncertainty, is a concept in Islamic finance that refers to the presence of excessive ambiguity or uncertainty in a contractual agreement. It is considered undesirable because it can lead to unfairness, exploitation and disputes. In this blog, we explain everything you need to know about Gharar. What is Gharar? In […]

June 27, 2023

Reasons Why Riba (Interest) is Prohibited

In Islam, Riba refers to the prohibition of interest or usury. The term Riba, derived from the Arabic word 'riba', means an increase or excess. It is considered unlawful and prohibited in Islamic finance and economic systems because it involves charging or paying interest on loans or debt.  Riba is based on the principle that […]

June 26, 2023

Islamic Finance Contracts: Top Features and Elements

Islamic finance contracts are agreements and contractual arrangements designed to comply with the principles and guidelines of Shariah law, the Islamic legal framework. These contracts are used in Islamic finance to facilitate transactions and financial activities that adhere to Islamic principles, which include the prohibition of interest (riba) and the promotion of ethical and socially […]

June 24, 2023

Everything you must know about Dhul Hijjah

Dhul Hijjah is the 12th and final month of the Islamic lunar calendar. It is a significant month for Muslims worldwide, particularly because it is the month during which the annual Hajj pilgrimage takes place in Mecca, Saudi Arabia along with many other important religious observances. Dhul Hijjah is considered sacred and holds great religious […]

June 23, 2023

The Objectives of Wealth Management in Islam

Wealth Management in Islam is a discipline within the realm of Islamic finance that focuses on managing and preserving wealth while adhering to the principles of Shariah.  It seeks to ensure financial well-being and growth while upholding ethical guidelines and avoiding activities that are considered unlawful or prohibited in Islam. Islamic wealth management has several […]

June 22, 2023

How Does Ijara Muntahia-bi-tamleek Financing Work?

Ijarah financing is a concept commonly utilised in Islamic finance that provides an alternative method of financing assets. Derived from the Arabic word "ijarah," which means lease or rent, involves a leasing agreement between two parties: the lessor (financier) and the lessee (customer).  This arrangement allows individuals and businesses to access financing while adhering to […]

June 21, 2023

5 Main Components of Islamic Wealth Management

Islamic wealth management incorporates principles and guidelines derived from Islamic law, known as Shariah, which governs various aspects of Muslim life, including financial matters. It encompasses a range of practices that are designed to align with the principles of Islamic finance and are aimed at preserving and growing wealth while adhering to Islamic principles. These […]

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