Islamic Mortgage Calculator
Estimate your payments for different Sharia-compliant home finance structures. Each structure uses a different model — switch between them or compare all three side-by-side.
Your Details
💡 Typically 4-8%. Comparable to conventional mortgage rates.
Starting Monthly Payment
$5,067
per month (decreases over time as you build equity)
Finance Amount
$640,000
Total Rent Paid
$441,467
Total Repayment
$1,081,467
Payment Schedule Preview
How payments decrease over time as you build equity
| Month | Payment | Rent | Equity | Bank Share |
|---|---|---|---|---|
| 1 | $5,067 | $2,933 | $2,133 | $637,867 |
| 60 | $4,490 | $2,356 | $2,133 | $512,000 |
| 120 | $3,903 | $1,770 | $2,133 | $384,000 |
| 180 | $3,316 | $1,183 | $2,133 | $256,000 |
| 240 | $2,730 | $596 | $2,133 | $128,000 |
| 300 | $2,143 | $10 | $2,133 | $0 |
Ownership Split at Start
Diminishing Musharaka (Partnership)
Decreasing PaymentsYou and the bank co-own the property. Each month you pay rent on the bank's remaining share plus buy a fixed equity portion. As your ownership grows, rent decreases — so payments decrease over time.
💡 Uses a compounding rate similar to conventional mortgages. A rate of 5.5% here is comparable to a conventional 5.5% rate. Total cost is lower than Murabaha/Ijara at equivalent rates because rent diminishes over time.
Disclaimer: This calculator provides estimates for educational purposes only. Murabaha and Ijara use a simple markup model (rate × term on the original amount) — rates are typically quoted lower than conventional mortgage rates. Diminishing Musharaka uses a periodic rate on the bank's diminishing share — rates are comparable to conventional mortgage rates. Actual payments, rates, and terms will vary by provider. Always consult a qualified financial advisor and your chosen provider for accurate figures.