Contemporary Primary Sources :: Fatwās - Contemporary :: 3 Jumādā II 1435 / 2 April 2014
National Shari'a Board - Indonesian Council of Ulama Fatwa No. 93 of 2014 on Property Market Brokerage
Dewan Syari'ah Nasional MUI, Posted by Daniel Peterson, 01 September 2015
This fatwa acknowledges that brokerage in the property market is becoming increasingly prevalent, and that shari'a financial institutions have requested a fatwa on the subject. The fatwa permits brokerage, on the following conditions:
- a brokerage agreement must be free of confusion and irregularities;
- the authorised duties of the broker must be clear in the brokerage agreement;
- the term of a brokerage agreement must be clear;
- brokers must execute certain duties that form the basis of their payment;
- owners of assets and intermediaries are to have sufficient knowledge of the assets for sale.
The fatwa also sets out conditions for brokers who choose to involve a shari'a financial institution in the brokerage process.