RHB Islamic Bank Equity Home Financing-i with Redraw Mechanism
Islamic Home Financing in Kedah
RHB Islamic's diminishing partnership mortgage: the page states that 'by adopting the concept of Ijarah and Musyarakah Mutanaqisah, you will rent the Bank's portion of the property and slowly gain full ownership of your home as you purchase more and more Musyarakah units'. It carries a redraw facility on excess or partial payments, minimum financing RM100,000, margin of 90% plus up to 10% for MRTT/MLTT and entry costs (FEC capped at 5%), tenure 5 to 35 years or age 70, for new purchases, refinancing and completed properties. Optional top-up available with good payment record. Open to residents and non-residents 18+ (crawled rhbgroup.com 2026-08-06).
For buyers who care about the contract itself, this is one of the two purest structures in the Malaysian mass market: a genuine Musharakah Mutanaqisah where you buy out the bank's units while renting its share, with a redraw facility layered on. Structure-first customers should shortlist it against Bank Islam's Baiti Home Financing-i; pure price shoppers may do better on RHB's own CMTF-i where the printed reference pricing applies identically but the minimum is lower.
Pros
- One of only two true diminishing-partnership mortgages among Malaysia's big six Islamic banks
- Redraw mechanism gives prepayment flexibility without a full flexi account
- Plain-language explanation of how Musyarakah units transfer ownership
Cons
- RM100,000 minimum excludes the affordable end (CMTF-i starts at RM30,000)
- No product-specific printed rate
Get a Quote
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Product Details
Structure
Musharakah Mutanaqisah + Ijarah diminishing partnership
Features
Contracts named on page: Ijarah and Musyarakah Mutanaqisah with unit-purchase mechanics explained, Redraw facility on excess and partial payments, 90% + 10% margin including Takaful and capped entry costs, Optional top-up financing, Residents and non-residents eligible
Down Payment
10% (90% MOF plus up to 10% for MRTT/MLTT and entry costs, FEC capped at 5%)
Term Options
5 to 35 years or age 70, whichever is earlier
RHB Islamic Bank in Kedah
RHB Islamic Bank's Musharakah Mutanaqisah + Ijarah diminishing partnership structure offers Kedah buyers a halal path to homeownership: instead of an interest-bearing loan, the contract is built on trade, leasing, or shared ownership of a real asset. Valuation, land office, and legal steps for a Kedah property run through the state's own machinery; RHB Islamic Bank's panel lawyers handle the process, and floating rates reprice against the Standardised Base Rate under BNM's framework. RHB Islamic Bank operates across Malaysia, so Kedah residents have full access to this product.
Shariah Compliance & Oversight
RHB Islamic Bank's Shariah Committee is profiled in the RHB Integrated Report 2024 published on rhbgroup.com: Azizi Che Seman (Chairman, appointed 1 February 2023; also Chairman of Agrobank's Shariah Committee and of the AIBIM Shariah Advisory Committee), Mohd Zubir Awang (appointed 1 April 2023), Dr. Md. Nurdin Ngadimon (appointed 1 May 2022; former Deputy Director, Securities Commission Malaysia), Dr. Abdul Rahman A. Shukor (appointed 1 May 2021) and Assoc. Prof. Dr. Siti Salwani Razali (appointed 1 October 2015). The committee was established under RHB Islamic Bank Berhad pursuant to BNM's Shariah Governance framework (RHB Integrated Report 2024, rhbgroup.com, crawled 2026-08-06).
2026-08-06
Why It's Halal
This is one of only two genuine Musharakah Mutanaqisah home products in this cluster (with Bank Islam's Baiti), and the page names both contracts (Ijarah plus Musyarakah Mutanaqisah) and describes the unit-purchase mechanics. Partnership-based financing is preferred by many scholars over debt-sale structures because the bank shares asset ownership. Takaful protection (MRTT/MLTT) with itemised Shariah concepts. Oversight: RHB Islamic Bank's five-member Shariah Committee. Caveat: no product-specific rate is printed; RHB's Islamic board rate grid and 4.50% standard indicative rate on the rates page are the pricing reference (crawled rhbgroup.com 2026-08-06).
Regional Availability
RHB Islamic Bank serves all of Malaysia
✓ Available nationwide including Kedah
Get a Quote: RHB Islamic Bank
Visit RHB Islamic Bank's website to get current terms, check eligibility for Kedah, and get started today.
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NationwideHalal Home Finance Estimate - Kedah
Estimate your monthly payment with a halal financing structure
Monthly
RM 2,023
Total Cost
RM 728,142
Total Profit
RM 408,142
Estimate only. Actual terms vary by provider.
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Important: HalalWallet provides educational information and comparisons to help you explore halal financial options. We do not provide financial, legal, or religious advice. Product structures and Shariah compliance oversight vary by provider. Always verify halal compliance directly with providers and consult with qualified Islamic finance advisors or scholars for guidance on specific products and your individual circumstances.