UK-based Islamic fintech firm Offa has introduced a new buy-to-let finance (BTL) service in a move to transform and disrupt the conventional realm of Islamic finance.
Driven by the latest software, Offa’s new BTL service addresses the requirements of both Muslim and non-Muslim property investors.
It offers flexible property finance solutions with end-to-end digital processes to enable property investors to easily apply and get a quick decision.
Offa said that its BTL product is available to both new and seasoned landlords who are British residents or UK expats. The product involves the Islamic finance principles of co-ownership-with-leasing without using interest.
Customers will be able to partner with Offa to acquire a property, gradually increasing their ownership through monthly payments until they fully own it.
To meet affordability criteria, the BTL product offers a unique feature allowing customers to supplement their rental income with personal monthly income, a practice known as top-slicing.
Offa’s service is open to individuals aged 21 for purchasing property in England and Wales where the property’s value is ranging from £60,000 to £1m. The Islamic fintech firm also said that first-time landlords can apply.
The UK-based Sharia-compliant bridge finance company’s BTL solutions are also available for houses in multiple occupancy (HMOs).
Offa chief commercial officer and retail finance managing director Sagheer Malik said: “Offa is all about a high-quality modern service and speed is crucial in real estate.
“With the launch of our ultra-quick buy-to-let service, combined with our teams’ decades of industry experience, we are bringing Islamic finance into the 21st century, leaving behind the onerous paperwork and cumbersome systems that many customers have typically suffered in the past.”
In April 2024, Offa raised £100m credit line for its bridge finance arm from a fund managed by UAE-based Gulf Islamic Investments Group (GII).
