Offa has launched a new Home Purchase Plan (HPP), an Islamic mortgage alternative, with offers being made within an hour depending on credit rating and risk.
The fintech firm’s application process is fully digital and paperless, using automated checks and valuation models.
The HPP includes a sharia-compliant family assist feature, allowing customers to add family members to their finance plan.
This means buyers can access more finance with help from relatives, while remaining the sole owner of the property.
Customers can also use gifted equity, buying a property below market value from family, with Offa using the full market value for finance purposes.
This allows some buyers to avoid a deposit.
The minimum deposit is 5%, and up to seven times income can be accepted, subject to affordability and underwriting.
Sagheer Malik, chief commercial officer and managing director of home finance at Offa, said: “We are revolutionising the cumbersome world of Islamic finance – challenging and beating conventional high street banks on speed while also allowing family members to help with payments.
“For too long, Muslims seeking property finance that adheres to their faith have had to suffer slow finance decisions and mountains of paperwork.
“All that has changed today, because we are providing a truly modern Sharia-compliant product with a paperless application process and ultra-quick decisions.”
Malik added: “It will also appeal to non-Muslims who favour ethical finance.”