Al-Manzil Buy to Let
Ijara Home Purchase Plan
Payments Fixed Quarterly
Payments will be fixed for 3 month periods with the rent being
reviewed every quarter.
Payments are calculated on the basis of 3 month LIBOR*
(on 1st January, 1st April, 1st July and 1st October) plus
a fixed margin of 3.19% (this margin is guaranteed for the
Current pricing** is 3 month LIBOR* (currently 1.12%) + 3.19%
= 4.31% fixed until 1st April 2012.
Payments Fixed Annually
Payments will be fixed for 12 month periods with the rent being
Payments are calculated on the basis of 12 month LIBOR* (on 1st April)
plus a fixed margin of 3.19% (this margin is guaranteed for the entire term).
Current pricing** is 12 month LIBOR* (currently 1.60%) + 3.19%
= 4.79% fixed until 1st April 2012.
With both the above options you can:
Purchase either freehold or leasehold residential property in England and Wales, over any period
up to 25 years.
Obtain finance up to 65% of the property value or purchase price, whichever is the lower.
Refinance (remortgage) from an existing standard interest mortgage.
Refinance (remortgage) from an existing Islamic home finance product.
Sell the property when you wish.
Make additional payments in March of each year of the term (early settlement charges may apply).
Settle the outstanding balance at any time (account settlement fees and early settlement charges may
The following additional features apply to both the above options:
Available to the employed and self employed.
Available to UK and Non-UK residents.
Available to Trusts, legal corporate entities in the UK and abroad and UK partnerships.
Minimum finance amount £100,000.
Minimum age 18.
Minimum term 8 years.
Maximum term up to age of retirement (normally 65).
Qualifying Properties in England and Wales
Freehold domestic residential properties.
Leasehold domestic residential properties, including flats and maisonettes, with an unexpired lease term
of a minimum of 40 years plus the payment term.
Some ex-local authority flats/maisonettes are acceptable in blocks up to four storeys in height. However, if
the block contains more than 50% local authority housing then the property will be deemed unacceptable
(NB: properties that are designated as a right to buy or are
for key workers, or are under shared ownership schemes
are also deemed unacceptable).
As the registered owner of the property we will arrange insurance
cover through a block policy for all freehold properties, and for
leasehold properties where the insurance is not controlled by a
landlord. We will recover the cost of the policy by charging insurance
rent for the cost of the premiums paid by us. A copy of the Bank’s
policy will be made available on request. For leasehold properties
where the insurance is controlled by a landlord, you are required to
promptly pay all the insurance premiums due.
(NB: contents insurance is not provided).
The property must be let as a single private dwelling on an Assured
Shorthold Tenancy basis for a minimum of six months and a maximum
of one year, and should be ready to let in its current state or require
minimal improvements, such as redecoration (NB: multiple lets and bedsits
are deemed unacceptable)
*LIBOR – means the London Inter-Bank Offered Rate, and is used as a benchmark
for the pricing of the rent. Our Shariah Advisory and Supervisory Board have stated
that any benchmark can be used for determining the rent in Ijara including LIBOR
especially where no other well known universal benchmark is available. Additionally,
the use of such a benchmark is for comparing market rates only and to ensure
transparency between the two parties.
** You may find that when the payments on your home purchase plan are reassessed on the review dates, the
amount may change dramatically (either up or down) because the payments are benchmarked against LIBOR.
To ensure you have the most up to date information available, please contact our freephone helpline 0800 783 3323
or email firstname.lastname@example.org or visit www.iibu.com
To help maintain our service standards, we may record or monitor telephone calls. Rates are correct as at 3rd
Any offer of finance will be subject to status and valuation. Terms and conditions of the above products are subject
to change or may be withdrawn at any time at the Bank’s discretion.
This document does not constitute advice and is not a recommendation to obtain a home purchase plan from Ahli
United Bank (UK) PLC.
Ahli United Bank (UK) PLC sells its Al-Manzil suite of products on a non-advisory basis; if you are uncertain about
the suitability of our products, then you should consult an independent financial advisor.
Before agreeing to offer an Al-Manzil Home Purchase Plan, we will satisfy ourselves about the suitability of the
Please note that Al-Manzil Ijara Buy to Let Home Purchase Plans are not currently regulated by the Financial
Ahli United Bank (UK) PLC, 35 Portman Square, London, W1H 6LR is authorised and regulated by the Financial
Services Authority and is a member of the AUB group
We promise to act fairly and justly in our dealings with you so that you can fulfil your obligations to us.
YOUR HOME IS AT RISK IF YOU DO NOT KEEP UP PAYMENTS ON YOUR HOME PURCHASE PLAN