Working as an estate agent
Q. Is it haram to be a real estate agent and/or to work in that industry?
A. A real estate broker or real estate agent is a person who acts as an intermediary between sellers and buyers of real estate/real property and attempts to find sellers who wish to sell and buyers who wish to buy.
Hereunder is a brief description of Real Estate Sales Agents:
- Present purchase offers to sellers for consideration.
- Act as an intermediary in negotiations between buyers and sellers, generally representing one or the other.
- Compare a property with similar properties that have recently sold to determine its competitive market price.
- Advise clients on market conditions, prices, mortgages, legal requirements and related matters.
- Promote sales of properties through advertisements, open houses, and participation in multiple listing services.
- Accompany buyers during visits to and inspections of property, advising them on the suitability and value of the homes they are visiting.
- Prepare documents such as representation contracts, purchase agreements, closing statements, deeds and leases.
- Confer with escrow companies, lenders, home inspectors, and pest control operators to ensure that terms and conditions of purchase agreements are met before closing dates.
- Interview clients to determine what kinds of properties they are seeking.
- Coordinate property closings, overseeing signing of documents and disbursement of funds.
- Generate lists of properties that are compatible with buyers’ needs and financial resources.
- Contact property owners and advertise services to solicit property sales listings.
- Arrange for title searches to determine whether clients have clear property titles.
- Display commercial, industrial, agricultural, and residential properties to clients and explain their features.
- Review property listings, trade journals, and relevant literature, and attend conventions, seminars, and staff and association meetings to remain knowledgeable about real estate markets.
- Coordinate appointments to show homes to prospective buyers.
- Answer clients’ questions regarding construction work, financing, maintenance, repairs, and appraisals.
- Advise sellers on how to make homes more appealing to potential buyers.
- Investigate clients’ financial and credit status to determine eligibility for financing.
- Develop networks of attorneys, mortgage lenders, and contractors to whom clients may be referred.
- Inspect condition of premises, and arrange for necessary maintenance or notify owners of maintenance needs.
- Conduct seminars and training sessions for sales agents to improve sales techniques.
- Appraise properties to determine loan values.
- Evaluate mortgage options to help clients obtain financing at the best prevailing rates and terms.
- Arrange meetings between buyers and sellers when details of transactions need to be negotiated.
- Rent or lease properties on behalf of clients.
- Secure construction or purchase financing with own firm or mortgage company.
- Solicit and compile listings of available rental properties.
- Review plans for new construction with clients, enumerating and recommending available options and features.
- Visit properties to assess them before showing them to clients.
- Locate and appraise undeveloped areas for building sites, based on evaluations of area market conditions.
- Contact utility companies for service hookups to clients’ property.
The above mentioned job description of a Real Estate Sales Agent is Shariah compliant and accordingly, it will be permissible to work in such an industry.
Allah Ta’ala Knows Best
Mufti Ismaeel Bassa