Buying a Home

Halal Bayt has supported hundreds of members in purchasing homes all across California. Our up to $1 million investment assists you in making your homeownership dream a reality.

How it works

Kickstart your journey of buying a home without foregoing your faith and sacrificing the principles of Islam. Peek at this step-by-step look at our home-buying process:

Members submit their request to be added to the Active List.
To be eligible to join the Active List, members must have a bank account balance of 20% of their intended home purchase price.
Once the member reaches the #3 position on the Active List, they are required to deposit the full down payment amount.
After the deposit, members will receive an occupancy letter and can commence searching for a home.
For more details about home ownership, click here to download the list of rules and regulations.
Interest-free Homeownership Backed by Scholars (AMJA)
HB’s home financing solutions are in complete compliance with the principles of Islam and are certified and backed by the Assembly of Muslim Jurists of America (AMJA). So, you can purchase your dream home without worrying about compromising your design or values.
KICKSTART YOUR HOME BUYING PROCESS AND BECOME HB’S MEMBER TODAY.

Halal Homeownership Backed by Scholars (AMJA)

The home financing solutions offered by HB are in complete compliance with the principles of Islam and are certified and backed by Assembly of Muslim Jurists of America (AMJA). So, you can purchase your dream home without the worry of compromising your deen or your values.

KICKSTART YOUR HOME BUYING PROCESS AND BECOME HB’S MEMBER TODAY.

Our Track Record

2003

HB has helped members buy homes with investments of up to $300,000.

2007

HB assisted members purchase their dream homes with investments of up to $500,000.

2014

HB helped members procure their homes with investments of up to $700,000.

2023

HB helped members buy their own homes with investments of up to $1M.

2024

We started HalalBayt in 2024 to serve the community members.

Buying a home:

Members must have 20% of their accounts to be included in the AL (Approved List).

If the member possesses less than 20%, that investment must be retained in their accounts when they submit the RFAL (Request for Approved List) and when the board reviews it.

How to Replace an Existing Mortgage (Refinance):

The process of RFAL ensures that an AHC member successfully gets their name appended to the Active List. Once the member completes the RFAL form and submits the necessary documents, their name will be added to the Active List without any delays.

Funding Requirements:

Depending on the amount, AHC will fund a portion of the mortgage, for example:
For amounts reaching up to $100,000, AHC will cover up to 80% of the cost.
For amounts up to $100,000 and a maximum of $500,000, AHC will cover up to 70% of the cost.
To add up to the “TOTAL INVESTMENT”, members’ “DOWN PAYMENT” submitted in their AHC account is used.

Example:

For US$100,000: The member must provide a down payment of US$25,000 and AHC will contribute US$80,000. So, the total investment will be US$105,000.
For US$500,000: AHC will contribute US$350,000 (70% of US$500,000), and the member needs to have at least US$33,000 in their AHC account for the down payment and US$66,000 in home equity. This will amount to a total of US$99,000 (30% of US$333,000). The total investment available will be US$333,000.

Nonetheless, it is not a prerequisite for the member to submit a complete DOWN PAYMENT to have their names added to the Active List.

Requirements for Refinancing Your Home

The member must meet one of these two requirements to refinance an existing home through AHC.

When submitting the RFAL document, the members must have $50,000 in their AHC account.

At least 10% of the total investment amount should be deposited into their AHC account, with a maximum of $50,000.

For example, if a member wants AHC to refinance a $200,000 mortgage for him, then he should have at least $20,000 deposited in his AHC account (this totals up to 10% of $220,000). It is also mandatory for him to have more than $44,000 in equity in his home. So, the total capital AHC account + home equity should amount to over $66,000 (30% of $220,000).

Simple Process for RFAL

If you want to refinance or purchase your home, you must fill out the RFAL form and submit it to the AHC Board for review. However, if you plan to refinance, you must also send proof that you possess your current home’s equity (ownership value).
If you are getting help from AHC, you are not permitted to rent out or lease any part of your home, as per the regulations. This is for you to live in.
Before submitting the RFAL, you need to ensure that you have the minimum amount of money in your AHC account to increase the chances of your request being considered.
Your “eligibility date” is when AHC receives your RFAL form. This date determines where your name will appear in the AL (Active List).
After reviewing your RFAL, the AHC Board will inform you whether it has been approved or denied by mail or email.
If your RFAL has been denied, you will receive a letter explaining why it was rejected. Your name will also not appear on the Active List.
However, if your RFAL gets approved, then

You will be able to see your name at the bottom of the Active List
You will also receive a letter showing the status of your position on the list.

After this, you will be waiting for your turn. You will be able to move up this list as members above you can secure a home or go on hold.
When your name finally gets close to #3 on the list, AHC will call you to ask you to deposit your full down payment within 30 days.
If you cannot deposit the full amount, your name will be removed from the Active List and placed on the “Unqualified Hold.” Then, you will need to fill out the RFAL again later to rejoin.
However, if you deposit the complete down payment, your name will gradually reach #1 on the Active List
Once you attain the #1 position on the list, AHC will initiate the “Occupancy Process,” meaning you are now eligible to buy or refinance a home.
You will be given 60 days to find and buy a home and 30 days if you are refinancing your current home.
When AHC asks you to initiate the buying or refinancing process and you are not ready to move forward, you can fill out the RFAL form and request that they put you on the “Qualified Hold.”
Any Qualified or Unqualified hold will last 45 days from the date it began.
You can use the RFAL form if you want to:

Be on hold
Reactivate yourself after being on hold
Remove yourself from the Active List