What is the ruling on buying a house from a bank that bought it for me and then sells it to me again in installments?
Machine translationRead the Arabic original
The questioner:
He says: I want to buy a house through a bank. The bank will buy the house for me, and then I will buy it from the bank in installments. Is that permissible?
The Shaykh:
This is a ruse. The bank did not buy it for itself; it bought it for you and paid its price on your behalf as a loan. You pay back more than what was paid to you. This is riba (usury or interest). This is riba. Yes.
The presenter:
Honorable Shaykh, may Allah grant you success.
The Shaykh:
As for if the bank has houses it owns from before, and you buy from it, there is nothing wrong with that. But if it does not buy except when you request it from them, that means it bought it for you and paid the price as a loan to you, and it recovers it for more than what it paid. Yes.
He says: I want to buy a house through a bank. The bank will buy the house for me, and then I will buy it from the bank in installments. Is that permissible?
The Shaykh:
This is a ruse. The bank did not buy it for itself; it bought it for you and paid its price on your behalf as a loan. You pay back more than what was paid to you. This is riba (usury or interest). This is riba. Yes.
The presenter:
Honorable Shaykh, may Allah grant you success.
The Shaykh:
As for if the bank has houses it owns from before, and you buy from it, there is nothing wrong with that. But if it does not buy except when you request it from them, that means it bought it for you and paid the price as a loan to you, and it recovers it for more than what it paid. Yes.
Source
قناة «العلامة الدكتور صالح الفوزان»، ما حكم شراء بيت من البنك الذي اشتراه لي ثم يبيعه مرة أخرى لي بالتقسيط؟ لمعالي الشيخ صالح الفوزان — youtube.com
The Arabic text is a machine transcription of the audio recording.