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Minimum property value
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£100,000
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Minimum finance amount
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£60,000
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Minimum first payment
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At least 25% of property value up to £250,000 (dependent on property yield)
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Payment term
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Murabaha up to 15 years, minimum term 5 years.
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Ijara up to 25 years, minimum term 7½ years.
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Income Multiples
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Murabaha & Ijara
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Combination of property yield and earned income. However, rental income should exceed Manzil Home Purchase Plan payment
costs by at least 15% after all deductions.
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Fees
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Application fee of 0.75% of the finance amount.
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Buildings insurance
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Murabaha – cover is required and may be arranged by the client or may be part of AUBUK’s block policy.
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Ijara – cover is required and will be arranged by AUBUK under its block policy.
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Other types of insurance
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Life assurance and other types are not compulsory.
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Types of property
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Most types of residential property, including some ex-local authority properties, considered (excluding Right to Buy). The property
must be in England & Wales, should be ready to let or require minimal improvements and be wholly used for residential purposes. Multiple
lets, i.e. bedsits are not acceptable. The property must be fully self - contained.
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Leasehold properties must usually have an unexpired term of 40 years plus the payment term.
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Tenancies
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Property should be let as a single private dwelling, i.e. to one family, professional person (s) or company let. This must be under an
Assured Shorthold Tenancy agreement for a minimum of six months and a maximum of one year.
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The property should, where possible, be managed professionally.
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Valuation
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A valuation of the property addressed to AUBUK is required; all costs are payable by the applicant.
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Terms & Conditions
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Full terms will be detailed in our offer letter and Manzil Home Purchase Plan documents.
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References
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Satisfactory Bank references and employment details. Three years accounts for the self employed.
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YOUR HOME IS AT RISK IF YOU DO NOT KEEP UP MONTHLY PAYMENTS ON YOUR HOME PURCHASE PLAN
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