What is Murabaha and how does it operate?

All perfect praise be to Allah, The Lord of the Worlds. I testify that there is none worthy of worship except Allah, and that Muhammad is His slave and Messenger.

Muraabahah means selling an object while informing the purchaser of its original price and the profit he is getting in this deal. The conditions of the validity of this sale/transaction are the same as the other sales/transactions; i.e., the sold item itself should be lawful, pure, useful, in the possession of seller, and the seller should be able to hand it over to the purchaser.

For more benefit on Muthaarabah / al-Muraabahah, please refer to Fataawa 306337, 276166, 244552, 164735, 10549, 148103, 228259, 94668 and 237232.

Allah knows best.