Neeyah offers a co-ownership model for home purchasing that eliminates interest and profit rates, allowing families to buy homes without traditional mortgages. This approach enables shared financial responsibility for home expenses and risks, providing a Shariah-compliant alternative for those seeking to transition from renting to homeownership.
Funding
Funding not disclosed
Founders
Product
Problem
Many Muslims and others seeking ethical financing alternatives are excluded from traditional homeownership due to the interest-based nature of conventional mortgages, which conflicts with Shariah principles. Existing Islamic mortgages often mimic conventional mortgages, lacking true risk-sharing and transparency. This limits access to homeownership for individuals seeking financing options aligned with their values.
Solution
Neeyah offers a Shariah-compliant co-ownership model that allows families to purchase homes without interest (riba). Neeyah invests alongside the homeowner, covering up to 80% of the home's cost, and shares in both the expenses and any potential loss in value. Homeowners make monthly payments for the portion of the home they don't yet own, with rent based on market rates and home expenses, not profit rates. This model avoids selling to institutions like Fannie Mae or Freddie Mac, ensuring a long-term partnership between Neeyah and the homeowner.
Target Audience
Neeyah primarily targets Muslim families and individuals seeking a Shariah-compliant alternative to traditional mortgages, as well as anyone interested in ethical and transparent home financing solutions.
Features
- Co-ownership model with shared risk and expenses
- No interest (riba) or profit rates
- Rent based on real market factors and home expenses
- No selling of the co-ownership stake to conventional mortgage entities
- Option to increase equity and ownership over time
- Flexibility to sell the home or buy out Neeyah's share
- Shariah compliance letter available for review