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Terms, Conditions and Criteria for Murabaha and Ijara

Minimum property value £65,000
Minimum finance amount £42,250
Obtain Finance Up to 65% of the property value for properties valued at £100,000 and below.
Up to 65% of property value for properties valued at £100,001 and above.
Up to 65% of property value for Non-UK residents, for applicants working aboard and for buy-to-let properties.

Criteria and Conditions

Payment term
  • Murabaha up to a maximum of 15 years, minimum term 5 years.
  • Ijara up to a maximum of 25 years, minimum term 7½ years.
Income Multiples      Murabaha
  • 2½ times primary annual income (sole applicants).
  • 2½ times the higher income plus 1 times the lower income or 2 times combined income for joint applicants.
     Ijara
  • 3 times primary annual income (sole applicants).
  • 3 times the higher income plus 1 times the lower income or 2½ times combined income for joint applicants.
Fees
  • Application fee of 0.75% of the finance amount.
Buildings insurance
  • Murabaha – cover is required and may be arranged by the client or may be part of the bank’s block policy.
  • Ijara – cover is required and will be arranged by the bank under its block policy.
Other types of insurance
  • Life assurance and other types are not compulsory.
Types of property
  • Most types of residential property, including some ex-local authority properties, considered (excluding Right to Buy). The property must be in England & Wales. Minimum lease term; 40 years-unexpired in excess of the payment period.
Letting
  • No tenancies without AUBUK agreement (our consent will not be unreasonably withheld).
Eligibility
  • Suitable for those in permanent employment or the self-employed, and who are able to pay us the purchase price before the age of 65. Minimum age 18.
Valuation
  • A valuation of the property addressed to AUBUK is required; all costs are payable by the client.
Terms & Conditions
  • Full terms will be detailed in our offer letter and Manzil Home Purchase Plan documents.
References
  • Satisfactory bank references and employment details. Three years accounts for the self employed.

 

YOUR HOME IS AT RISK IF YOU DO NOT KEEP UP MONTHLY PAYMENTS ON YOUR HOME PURCHASE PLAN