The new way for Muslims to buy a home without ever paying interest
If you want to become a homeowner, while respecting your beliefs, it might feel like you only have a few options to choose from.
But what if you don't want an Islamic mortgage? Or you can't save a large deposit to make one work?
We believe everyone should have more choices when it comes to buying a home.
That's why we created Gradual Homeownership. It's the Shariah compliant, no interest alternative to an Islamic mortgage, which makes it easier for Muslims to own a home in line with your faith.
Buy without compromising on your beliefs
No mortgage
No interest
No debt
You don't borrow any money from us, so there's no mortgage.
We never charge you any interest to buy and own a home.
We buy the home with you, so you will never owe us any debt.
Unmortgage Ltd (registered in England and Wales, Company No. 10395239) and its subsidiaries comprise the Unmortgage Group. Our registered office is at 9 Appold St, London, EC2A 2AP.
Wayhome is a trading name of the Unmortgage Group.
Unmortgage Arrangers Ltd, a subsidiary of Unmortgage Ltd (registered in England and Wales, Company No. 11842567), is authorised and regulated by the Financial Conduct Authority (Firm Reference Number 838366) for arranging and administering insurance policies only and is also registered as an EMD Agent of Modulr FS Limited (Firm Reference Number 902968). Modulr FS Limited is Authorised and Regulated by the Financial Conduct Authority as an Electronic Money Institution (Firm Reference Number: 900573). Your money is held in a segregated and safeguarded account under e-money regulation.
No other aspect of the Unmortgage Group’s business falls within the scope of financial services regulation. This means you do not have any of the protections under the FCA rules and do not have any cover from the Financial Ombudsman Scheme or the Financial Services Compensation Scheme in relation to your interest in an LLP. Customers should ensure they understand what this means before they use the Wayhome product.
For full details relating to our regulatory position please see our Regulatory Information Page.
Wayhome Property Management Ltd, a subsidiary of Unmortgage Ltd, is a member of The Property Redress Scheme (membership number PRS025713), which covers activities in relation to the purchase of the home, the setting up and management of tenancy and the management of maintenance of the home.
Wayhome Nominees Ltd (registered in England and Wales, Company No. 13085562) is a subsidiary of Unmortgage Ltd.
How Gradual Homeownership works
1
You buy the bit you can afford.
We pay for the rest.
2
The house is paid for in full.
So you don’t need a mortgage.
3
You own the bit you bought.
You pay rent for the rest.
4
The home is yours to make your own.
Nobody can ask you to leave.
5
Buy more each month or in lump sums.
The more you buy, the less rent you pay.
See what you could afford
Gradual Homeownership vs Islamic Mortgages
| Gradual Homeownership | Islamic Mortgages | |
|---|---|---|
| No mortgage |  |
 |
| You only need a 5% deposit | |
|
| Only pay for your share of the buying costs | |
|
| Rent is based on local rental market | |
|
| Buy more of your home whenever you want to, from as little as £50 | |
|
| No fees charged | |
|
| There’s no ‘rental rate’ | |
|
| Only pay for your share of the selling costs | |
|
We help you find the best home for you and your loved ones.
We're a bit different from Rightmove and Zoopla because we need to make sure the home works for you and our funding partners.
First, we remove homes near motorways and flood plains–things that affect a property's value.
Second, our property specialists then look for any reasons why a property might not be worthy of your investment. For example, we reject homes above shops, with structural damage or where they have small bedrooms.
Third, the remaining homes are then personalised to you. They're based on your household income and deposit.
Finding the best homes
You're then seeing some of the best homes in England that have the highest chance of working with your finances.
At that point it's over to you to find that special place to call home!
The homes we show you
The kind of homes we help you to buy
- Have 1-5 nicely sized bedrooms
- Are ready for you to move in to and don't need major work
- Cost between £150,000 to £500,000
- Have established value (they've been bought and sold before)
Once you sign up, we then create your personalised list of homes based on the information you share with us and the location you're looking to buy in.
As seen on
In short, nobody lends you any money. That's why there's no interest and no mortgage.
Instead we* arrange a partnership with you to buy the home together, in cash.
If you pay for 5%, we pay for 95%.
You own the part you buy and pay rent on the part you don’t own yet.
Over time, buy more of your home whenever you want to. The more you buy, the less rent you pay.
From day one, you can make it yours. Paint the walls, put up your favourite pictures and furnish it how you'd like it to be.
In the long term you can rest easy knowing you've finally bought a home while respecting your faith by never having to pay any interest.
How we help you buy a home
To buy with us you’ll need:
£24,000 minimum household income
5% deposit
To buy with us you’ll need:
£24,000 minimum household income
5% deposit
* 'we' 'us' and 'our' refer to Wayhome and/or their funding partners
Featured in
Gradual Homeownership is Shariah compliant
Gradual Homeownership is certified as Shariah compliant by Amanah Advisors and The Islamic Council of Europe.
Our Shariah compliance certification
How is this different to an Islamic mortgage?
With us, you don't need a mortgage. Instead we buy the home with you, as a partner. If you buy 5%, we pay for the remaining 95%. You own the bit of the home you buy, and you pay rent for the part you don't own yet.
Where does Wayhome get its money from?
We've partnered with big organisations, like pension funds, to help you buy a home. Through us, they're able to invest in residential homes and help people like you get onto the housing ladder.
What is the Islamic structure of Gradual Homeownership?
Gradual Homeownership is based on the popular and renowned structure of Diminishing Musharakah and Ijarah.
This means there's joint ownership in an asset (in this case, a home). As our customer you can buy more of the home from us* at any time. As you do this, you increase the amount of the home you own.
For the part of the home you don't own yet, you pay rent to us. When you buy more of the home, we decrease how much you pay us in rent.
If Wayhome doesn't charge any interest, how does it make its money?
We make our money by charging a fee to the big organisations for helping them to invest in the residential property market. We don't charge you any fees or any interest at any point.
Is this like Shared Ownership?
No, we're actually very different. Unlike Shared Ownership, we don't buy brand new builds and you don't have to get a mortgage. We also make it much easier for you to buy more of your home and you can do this whenever you like from as little as £50.
Is Gradual Homeownership Shariah compliant?
Yes. We are certified as Shariah compliant by both Amanah Advisors and The Islamic Council of Europe.
What is Diminishing Musharakah?
A Diminishing Musharakah is a famous Islamic Finance product where a funder (that's us) and their customers (that's you) participate in a joint purchase and joint ownership of an asset, which is then leased and gradually sold to the customer.
As a Wayhome customer, you buy a home alongside us in partnership. When you buy more of your home from us, you're buying more of the partnership. This increases the amount of the home you own.
How do I know Gradual Homeownership remains Shariah compliant?
I'm concerned about having to get insurance, do you make me do this?
Amanah Advisors and The Islamic Council of Europe make sure that Gradual Homeownership continues to be Shariah compliant by carrying out regular Shariah review and Shariah audits.
If there's any update or change to the product, it must be reviewed and certified by Amanah Advisors and The Islamic Council of Europe before it's introduced.
Insurance is a common requirement for other home buying schemes, like Islamic 'Home Purchase Plans' (HPPs).
To protect Wayhome's interests in all of the homes we buy with our customers, we* get an insurance policy that covers each of them.
As we're the ones getting the insurance, we pay the premiums to the insurer. This means you don't pay for the insurance directly and you're not named as the policy holder. Instead, you pay an amount to us each month, which reimburses us for the cost of the insurance over time.
This payment (which we call Home Support Costs) is collected monthly alongside your rent. As an example, if your rent is £1,000 per month and your Home Support Costs are £4.50 per month, you pay £1,004.50 each month to us.
Wayhome doesn't make you get any insurance for the contents of your home or any other insurances you may need. However, we'd recommend considering available options that align with your beliefs, like Islamic Insurance (Takaful).
Frequently asked questions
* 'we' 'us' and ''our' refer to Wayhome and/or their funding partners
The Islamic Mortgage alternative
Buy a home with just a 5% deposit and no interest, no mortgage and no fees
“This is a great scheme that allows you to get on the property ladder with as little as a 5% deposit, and with no interest which for us as Muslims is such a blessing.”
- Mara, homeowner with Wayhome
How Wayhome works