Original Question: Salam aleykoum wa rahmatullahi wa barakatu, I have a question for a while for which I struggle to find the correct answer as per shariah. I am dubai resident and I have started to purchase an offplan property in Dubai. So I am paying it monthly till handover without having a loan with a concentional bank. As per the developer to whom I pay this property being built, I can resell the property as long as I have paid at least 45% of the price. So now I am thinking of changing my investment for another property by taking an islamic “loan” (murabaha) for a ready property. But my question is : as per shariah is that allowed to resell that offplan contract property if I have paid at least the 45% ? Thank you for your time reading me and answering. May Allah bless us and give us the best understanding. Best regards, Adam

Answer:

Thank you for your question and patience.

To address your question regarding the resale of an off-plan property, we should begin with the general principles of Islamic transactions.

The Prophet Muhammad ﷺ said:

“Do not sell what you do not possess.”

This narration expresses an important principle in Islamic commercial law: a person should not sell an asset before acquiring a valid ownership interest or possession over it. This is connected to the broader objective of avoiding prohibited uncertainty (gharar) and disputes in contracts.

In your case, the issue is not simply that the property is still under repayment. Selling an asset while instalments remain outstanding may be permissible if you have acquired ownership or a recognized beneficial interest in the asset. The more specific issue is that the property is still under construction, and therefore we need to determine what exactly you own at this stage.

There are a few possible fiqh characterisations:

1. You may be selling an ownership interest in a specific off-plan unit.
2. You may be transferring a contractual entitlement or right against the developer.
3. You may, in some structures, be selling a debt or claim, which may raise further Shariah concerns.

If the off-plan unit has been clearly identified, the sale contract with the developer is valid, your interest is recognized under Dubai property law, and the developer permits the transfer after 45% payment, then there is a strong basis to argue that you have acquired a recognized beneficial ownership interest or transferable contractual right. In contemporary fiqh, such a right may be treated as a valuable financial right (haqq mali) that can be transferred, especially where local law and market practice recognize it.

This also relates to the concept of qabd or possession. In classical fiqh, possession was often physical. However, in modern transactions, especially real estate transactions, scholars also recognize constructive possession (qabd hukmi). If the buyer has legal recognition, entitlement to the unit, the ability to transfer the right, and bears relevant risks and obligations, this may amount to a form of constructive possession or beneficial ownership, even though the physical property has not yet been handed over.

That said, care must be taken to ensure the transaction does not become a prohibited sale of debt for debt (bayʿ al-dayn bi al-dayn or bayʿ al-kāliʾ bi al-kāliʾ). This concern may arise if what is being transferred is merely a receivable or claim against the developer, especially if the buyer’s payment is also deferred. The transaction is stronger from a Shariah perspective if it is structured as a transfer of a recognized proprietary or beneficial interest in a specific unit, rather than as the sale of an unsecured debt or mere contractual claim.

It is also relevant that Islamic finance recognizes contracts such as istisnaʿ, which allow the sale of assets to be manufactured or constructed, provided that the subject matter, price, specifications, and delivery terms are sufficiently clear. Therefore, the fact that the property is under construction does not automatically make the transaction impermissible. The key question is whether your resale is a valid transfer of a recognized interest in the unit, or whether it is merely the sale of something you do not yet own or possess.

Local law and commercial custom (ʿurf tijari) are also important here. In Dubai, off-plan property transactions often have legal registration and regulated transfer mechanisms. If the law, the developer, and the relevant property authorities recognize your right to transfer the unit after 45% payment, this helps reduce uncertainty and strengthens the argument for permissibility, provided that the transaction is free from other prohibited elements.

A further point worth considering is that the transaction may be structured in a way that is safer from a Shariah perspective. Instead of the original purchaser selling the uncompleted unit directly to the new buyer, the developer may release the original purchaser from the first contract through an iqālah or settlement arrangement. The developer would then enter into a fresh sale or istisnaʿ contract with the new buyer. If the developer owes the original purchaser a refund or settlement amount, the buyer may pay that amount directly to the original purchaser by way of hawālah or payment direction, while paying the remaining balance to the developer. This structure may be safer than a direct resale of the uncompleted property, because the sale of the unit remains between the developer and the new buyer, while the original purchaser merely exits and receives what is due to him. However, this is a layered arrangement (ʿaqd murakkab), so its validity depends on proper sequencing, independence of the contracts, absence of prohibited conditionality, and ensuring that the arrangement does not become a disguised sale of debt for debt or a sale of something not yet owned or possessed. 

In conclusion, the fact that you have paid 45% does not by itself determine the Shariah ruling. Rather, the ruling depends on what that 45% payment gives you: a genuine transferable beneficial ownership interest, or merely a contractual claim.

If you have a specific identified unit, a valid registered interest, developer approval, and the resale is processed as a transfer of your rights in that unit, then there is a strong contemporary Shariah basis for permissibility. However, if you are merely selling a debt, an uncertain claim, or something not yet owned or constructively possessed, then the transaction becomes problematic.

For a definitive ruling, the sale agreement, registration status, and resale mechanism should be reviewed by a qualified Shariah advisor familiar with Dubai real estate law and Islamic finance structures.

And Allah knows best.