Murabaha Financing

Ijarah mode of financing is widely used as an Islamic means for leasing.

• Crescent Coop may purchase a property identified for purchase by the Crescent Coop member customer
• At closing, the customer will assign the purchase contract to Crescent Coop, which will enable Crescent Coop to purchase the property from the seller on the same terms and conditions that member customerhad agreed to with the seller
• Immediately after the purchase, a second transaction will cause the sell of the house to the member customerfor a “cost plus profit” adjusted fixed price, paid over time
• The fixed price will include the price Crescent Coop paid for the house and the Crescent Coop’s profit

Murabaha Financing

• To determine the profit, Crescent Coop will take into consideration the purchase price, the amount of initial down payment, the term of repayment and the market rate of profit return on real estate transactions our underwriting committee approves
• At closing, member customerwill provide Crescent Coop with the pre-agreed down payment
• The balance of Crescent Coop financed Murabaha amount will be paid in installments
• Crescent Coop member customer will have the ownership to the property at closing

We have tried to keep Islamic Financing as close to an equivalent conventional loan and to keep any additional costs as low as possible.