Being unable to afford the price of a piece of land he wants to buy, he asked a company to buy it for him and then sell it to him in installments
I bought a piece of land and wanted to buy an adjacent plot to expand the area. Since I was unable to pay in cash, I asked a company to buy it for me and then sell it to me in installments.
The company did in fact buy it after we settled on the sale price to be paid in installments and the maturity period. Now, after the company came into possession of the plot of land, I wish to ask Your Eminence about the ruling on buying this plot of land in installments and whether this transaction involves Riba (usury) or anything Haram (unlawful)?
If the company purchased the above mentioned plot of land and acquired full possession of it, it is permissible for you to buy it from them and this does not involve any prohibition. However, it is impermissible for this company to sell the plot of land before it purchases and acquires possession of it, in compliance with the command of the Prophet (peace be upon him) who said:
Do not sell what you do not have.
Therefore, it is impermissible for you to enter into a contract with the company before it completely owns the plot of land and has it under possession.May Allah grant us success. May peace and blessings be upon our Prophet Muhammad, his family, and Companions.