Islamic Mortgage Growth and Its Awareness in the Muslim Community of Manchester United Kingdom
TABLE OF CONTENTS
TABLE OF CONTENTS 1
CHAPTER 1 3
INTRODUCTION 4
1.1 Background 4
1.2 Motivation 4
1.3 United Kingdom Mortgage 7
1.4 Research Overview 7
1.5 Research Questions 8
1.6 Specific Aim 8
1.7 Overall Objectives 8
1.8 Research Scope 9
CHAPTER 2 10
LITERATURE REVIEW 10
2.1 Islamic Finance in the United Kingdom 10
2.2 Mortgages 11
2.3 Types of Mortgages in the United Kingdom 12
2.3.1 Variable Rate Mortgage (VRM) 12
2.3.2 Fixed Rate Mortgage (FRM) 12
2.3.3 Interest-based Mortgage 13
2.4 Islamic Mortgage in West 13
2.5 Islamic Mortgage 13
2.5.1 Islamic Mortgage Contract 14
2.5.2 MurÉbahah 15
2.5.3 IjÉrah 16
2.5.4 MushÉrakah 17 2.6 Growth and Global Expansion 18
2.7 Islamic Mortgage Lenders 19
2.7.1 Islamic Bank of Britain 20
2.7.2 HSBC Amanah 20
2.7.3 Lloyds TSB 21
2.7.4 Finance Companies (Houses) 21
2.8 Challenges and Issues 22
2.9 Community Awareness 23
2.10 Summary of the Chapter 24
CHAPTER 3 24
RESEARCH DESIGN AND METHOD 24
3.1 Introduction 24
3.2 Qualitative and Quantitative Methods 25
3.3 Primary Research 26
3.4 Secondary Research 27
3.5 Questionnaire 27
3.5.1 Pre-Testing 28
3.6 Population and Study Sample 28
3.7 Data Processing and Analysis 29
3.8 Limitations 29
3.9 Ethics 29
3.10 Summary of the Chapter 30
CHAPTER 4 30
DESCRIPTIVE ANALYSIS AND RESULTS 30
4.1 Comparative Analysis of Islamic Mortgages with Conventional Mortgages 31
4.1.1 Mortgage Lending in Western Banks 31
4.1.2 Islamic Mortgages 32
4.1.3 MurÉbahah Mortgage Structure 35
4.1.4 IjÉrah and MushÉrakah Mortgage Structure 36
4.2 Islamic Mortgage Growth in the UK 40
4.2.1 Islamic Mortgage Growth Analysis 41
4.2.2 Barriers in the Growth of Islamic Mortgages 43
4.2.3 Summary 45
4.3 Level of Awareness in Muslim Community of Manchester 45
4.3.1 Awareness of the Muslim Community 47
4.3.2 Summary 53
CHAPTER 5 53
CONCLUSION 53
5.1 Research Summary 53
5.2 Conclusion 54
5.3 Recommendations 56
5.4 Further Area of the Studies 57
TABLE OF CONTENTS 1
CHAPTER 1 3
INTRODUCTION 4
1.1 Background 4
1.2 Motivation 4
1.3 United Kingdom Mortgage 7
1.4 Research Overview 7
1.5 Research Questions 8
1.6 Specific Aim 8
1.7 Overall Objectives 8
1.8 Research Scope 9
CHAPTER 2 10
LITERATURE REVIEW 10
2.1 Islamic Finance in the United Kingdom 10
2.2 Mortgages 11
2.3 Types of Mortgages in the United Kingdom 12
2.3.1 Variable Rate Mortgage (VRM) 12
2.3.2 Fixed Rate Mortgage (FRM) 12
2.3.3 Interest-based Mortgage 13
2.4 Islamic Mortgage in West 13
2.5 Islamic Mortgage 13
2.5.1 Islamic Mortgage Contract 14
2.5.2 MurÉbahah 15
2.5.3 IjÉrah 16
2.5.4 MushÉrakah 17 2.6 Growth and Global Expansion 18
2.7 Islamic Mortgage Lenders 19
2.7.1 Islamic Bank of Britain 20
2.7.2 HSBC Amanah 20
2.7.3 Lloyds TSB 21
2.7.4 Finance Companies (Houses) 21
2.8 Challenges and Issues 22
2.9 Community Awareness 23
2.10 Summary of the Chapter 24
CHAPTER 3 24
RESEARCH DESIGN AND METHOD 24
3.1 Introduction 24
3.2 Qualitative and Quantitative Methods 25
3.3 Primary Research 26
3.4 Secondary Research 27
3.5 Questionnaire 27
3.5.1 Pre-Testing 28
3.6 Population and Study Sample 28
3.7 Data Processing and Analysis 29
3.8 Limitations 29
3.9 Ethics 29
3.10 Summary of the Chapter 30
CHAPTER 4 30
DESCRIPTIVE ANALYSIS AND RESULTS 30
4.1 Comparative Analysis of Islamic Mortgages with Conventional Mortgages 31
4.1.1 Mortgage Lending in Western Banks 31
4.1.2 Islamic Mortgages 32
4.1.3 MurÉbahah Mortgage Structure 35
4.1.4 IjÉrah and MushÉrakah Mortgage Structure 36
4.2 Islamic Mortgage Growth in the UK 40
4.2.1 Islamic Mortgage Growth Analysis 41
4.2.2 Barriers in the Growth of Islamic Mortgages 43
4.2.3 Summary 45
4.3 Level of Awareness in Muslim Community of Manchester 45
4.3.1 Awareness of the Muslim Community 47
4.3.2 Summary 53
CHAPTER 5 53
CONCLUSION 53
5.1 Research Summary 53
5.2 Conclusion 54
5.3 Recommendations 56
5.4 Further Area of the Studies 57