eConveyancer, the online service which enables intermediaries to select and instruct conveyancers on behalf of their clients, is launching a specialist panel of solicitors capable of managing Islamic mortgage applications.
The new service will be available nationwide and will focus on law firms who understand the requirements of Shariah compliant mortgages. Under Islamic law, money must not generate money (which must be the result of work) and Riba, or interest, is forbidden. The way lenders overcome this problem is by buying the property and then selling it to the borrower for a higher price – with the difference equating roughly to the amount of interest that would otherwise have accrued on the deal.
There are estimated to be more than two and a half million Muslims and 100,000 small and medium sized Muslim businesses in the UK. The Islamic Banking Corporation believes the UK Islamic mortgage market could be worth more than £1 billion by 2009 and the FSA says that Islamic finance is growing worldwide by about 10% - 15% per year and is worth approximately £250 billion globally.
Vanessa Blount said: “There is growing demand for Islamic home finance and we want to ensure intermediaries have access to a specialist panel of conveyancers who understand the specific requirements of Islamic law. We intend to develop further specialist services of this nature in future, which cater for the needs of emerging new markets in the UK.”
Intermediaries requiring further information about the full range of services on offer from eConveyancer by phoning 01844 262392 or emailing: econveyancer@utdgroup.com
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