Buying and Selling Undeveloped Residential Plots: Permissible?
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Buying and Selling Undeveloped Residential Plots: Permissible?

Questioner

Faizal

Reply Date

Jan 11, 2018

Question

In my city there are certain areas where the basic infrastructure such as roads, drainage, etc. have not been developed but the development authorities have laid out plans on paper for location of residential plots and are selling them. Is it permissible to buy and sell these plots?

Mufti

Answer


Buying and Selling Undeveloped Residential Plots

In the Name of Allah, Most Gracious, Most Merciful. 

All praise and thanks are due to Allah, and peace and blessings be upon His Messenger.


In this fatwa:

It is permissible to sell/buy plots of land that are not yet fully developed as long as the appropriate authority designated their development plans and the plots become recognizable.


In his response to your question, Prof. Dr. Monzer Kahf, Professor of Islamic Finance and Economics at Qatar Faculty of Islamic Studies, states:

Yes, it is permissible to sell/buy plots of land that are not yet fully developed as long as the appropriate authority designated their development plans and the plots become recognizable (i.e., they can be defined and land-marked by a specialist) as in the case of the question.

It is also permissible to buy a share (certain percentage) of a land that is not yet designated whereby the plots are not recognizable.

Almighty Allah knows best.

Editor’s note: This fatwa is from Ask the Scholar’s archive and was originally published at an earlier date.

 




About Prof. Dr. Monzer Kahf

Professor of Islamic Finance and Economics at Qatar Faculty of Islamic Studies

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