Offa's buy-to-let product works on Islamic finance principles, specifically co-ownership-with-leasing.
Here's how it works: You team up with us to acquire the property together. Each month, as you make payments, your share in the property increases until you eventually own it outright.
Here are the options available:
Rent Only BTLPP, you just pay rent monthly, but you can buy our part of the property later when the finance term ends. Or, if you want to buy Offa's shares bit by bit during the agreement, you'll have to make regular “Acquisition Payments” every month. These payments add up so that you own Offa's share completely by the end of the BTLPP term.
In the Buy-to-Let Purchase Plan (BTLPP), you'll need to sign a lease to rent Offa's portion of the property and pay rent each month to use it for subletting.
Our Buy-to-Let services include:
Available to first-time landlords without needing to own an existing property, provided they have previously owned their own home, creating opportunities for newcomers to enter the real-estate market.
Our financing options are available with no maximum age, provided the finance proposition is self-sufficient and retirement income meets requirements.
Experience fairness and transparency in every transaction with our Islamic finance principles, where honesty guides everything we do. Giving you the peace of mind to take that next step.
Owning your first BTL property couldn’t be simpler, and we’re here to help you along the way.
Before starting your application, make sure you meet the criteria for Offa’s Buy-to-Let Purchase Plan (BTLPP).
To be eligible I’m…
Use our Buy-to-Let Calculator to estimate your monthly payments and our Affordability Calculator to assess if the plan aligns with your financial situation. This step ensures you’re prepared before moving forward.
Now that you’ve found your property, it’s time to submit your application. Whether you’re working with our team directly or via a broker, this is where we get all the details to determine if we can offer you finance.
Prior to your full application, you will be provided with access to this Product Guide in addition to the following documents:
This document provides key information about how the finance will operate under the BTLPP and helps you to easily compare different BTL purchase plans offered by us and other providers. It includes information about:
Risk and Features of the BTLPP
This document provides more detail about how the BTLPP operates, including the key features and risks associated with entering this type of product.
Key Risks:
Your Key Commitments:
Tariff of Charges
This document sets out the fees and expenses that you may need to pay in relation to the BTLPP.
Once you have found a property to purchase (where applicable), completed your full application and once we have completed our due diligence checks you can move onto the offer stage.
At this stage we will send you or your broker an email to confirm our acceptance of your application and provide you with an Offer Letter. Alternatively, where we are not able to enter into a BTLPP with you, we will provide you with an explanation.
The Offer Pack will include the following documents:
Offer Letter
The Offer Letter sets out the basis that we are willing to enter into a BTLPP with you. This Offer Letter will contain an updated Financial Information Statement and Risk and Features document.
In order to accept the offer, you must:
Electronically sign and return a copy of the Offer Letter within 14 days from the date of the Offer Letter;
Provide signed copies of the Lease, the Diminishing Partnership Agreement and the Legal Charge and comply with the conditions set out in the Offer Letter within six months.
By signing the offer letter, you confirm that you accept the terms and conditions set out in the offer letter.
Once you have signed the Offer Letter you will then become responsible for your own legal costs, the valuation fees and the application fees set out in the Financial Information Statement attached to the Offer Letter. You will still be required to pay these fees even if completion does not occur.
You will then be able to start managing your property and receiving rental income. You’ll also make monthly payments to Offa, which will include rental payments on our share of the property and any acquisition payments (if applicable) to increase your ownership.
Lease
Offa will be the legal owner of the property until you fully purchase Offa’s share of the property. As such, Offa agrees to rent out the property to you during the agreed term. This document sets out the terms under which Offa, as your landlord, will rent out the property to you, as the tenant.
The Lease sets out your responsibilities and obligations as a tenant of the property, including:
Your obligation to pay rent (and Offa’s powers should you fail to pay rent or any other sum due under the Lease);
A number of legally binding promises which are set out in a separate schedule. These mainly relate to how you must treat the property during the term of the lease;
You are responsible for insuring the property in accordance with the terms of the Lease.
Note: if you fail to pay the rent, or you breach any of the legally binding promises listed in the Lease, Offa may terminate the Lease and re-take possession of the property.
Diminishing Partnership Agreement
Under the Diminishing Partnership Agreement, you agree to pay the Acquisition Payment(s) during the term or at the end of the term.
What happens if you are not able to make Acquisition Payment(s)?
If you are unable to make the Acquisition Payment(s) under the Agreement, this will be an Event of Default, which will enable Offa to terminate the lease and bring enforcement proceedings under the agreement. This could result in Offa repossessing and selling the property. Offa will deduct outstanding acquisition payments from the sale proceeds, as well as other costs and charges set out in 7.3 of the Diminishing Partnership Agreement, before providing the balance to you. You will be required to pay any shortfall.
Can you pay the Acquisition Payment(s) before the end of the term?
You may make additional acquisition payments throughout the plan. The maximum allowable additional payment is explained in the Tariff of Charges. Note that you may be required to pay an Early Buyout Charge if you make additional payments above the maximum allowable limit. You may also incur Early Buyout Charges if you redeem the BTLPP during the Fixed or Discounted periods.
When will the Bank transfer the property to you?
The Diminishing Partnership Agreement is a legal document, and by signing it Offa commits to transferring ownership of the property to you provided (i) you have paid the purchase price in full, (ii) there are no outstanding sums or outstanding breaches under any of the BTL PP documents and (iii) the conditions set out in Clause 4 of the Diminishing Partnership Agreement have been met.
Other key obligations under the agreement
You also agree in this agreement to compensate Offa against all Stamp Duty Land Tax, the Bank’s legal fees and any other fees, taxes, costs and expenses that Offa incurs in letting the property to you, charging the property under the Legal Charge (see below) and the enforcement of any of the BTL PP documents.
Legal Charge
The Legal Charge is our security for your obligation to pay the purchase price and rent payments. Under the Legal Charge, you agree to provide a legal mortgage and fixed charge over your interests in the property (including under the Lease, any insurance policy you enter into relating to the property).
The purpose of this Legal Charge is to ensure that, in the event Offa is forced to sell the property (for example, because you have failed to make the agreed payments), Offa will be paid first from the proceeds of sale.
Under the Legal Charge you will be responsible for paying on demand all reasonable costs, charges, taxes, liabilities and expenses incurred by Offa or Offa’s appointed Receiver in enforcing or preserving the security granted under this document or as a result of your breaching the Legal Charge.
This document includes a number of obligations, which you should read through carefully.
When it comes to Buy-to-Let mortgages, Offa stands out for a reason.
Here are four key benefits that make us the right choice for you:
No waiting! We offer a fast, efficient process to get your property investment up and running quickly.
Whatever your financial situation, we'll find a solution that fits, even if your credit history has a few bumps.
Our experienced team provides clear, expert advice to help you make confident decisions.
Rest easy with Offa’s fully Shariah-compliant, ethical, and transparent financing options.
Before you dive into the application process, it’s good to get familiar with a few key things.
Whether you're a first-time investor or an experienced one, this section is here to clear up any confusion about the terms and steps along the way.
A DIP (Decision in Principle) or AIP (Agreement in Principle) is a quick, preliminary check that gives you an idea of how much we may be willing to lend based on your financial details. Even if your situation is a little unique, we’ll work with you to make it happen, so don’t worry—we find a way!
Yes, we’re happy to help UK expats! We understand that living abroad can make things a little trickier, but we look at your overall financial situation and find ways to make it work. Whether you’re living in Europe or further afield, just get in touch, and we’ll help you through the process.
Like any investment, there are always some risks, but don’t worry—we’ll help you understand them. Offa’s Buy-to-Let options are designed to be as clear and transparent as possible, and we’re with you every step of the way, making sure you know what you’re getting into. We work with you to find solutions that minimise those risks and give you peace of mind.
Yes, Buy-to-Let properties often come with tax benefits, such as being able to deduct certain expenses like mortgage interest. While we’ll help guide you, we always recommend speaking with a tax professional to get the best advice based on your individual situation. We’ll make sure you’re aware of all the benefits available to you.
While most people can apply, we understand that everyone’s situation is different. Whether you’ve got a bit of a credit history issue or you don’t earn a huge income, we’re here to find a way for you. We take a flexible approach, looking at your overall financial picture—savings, assets, and your ability to make payments—so don’t worry, we’ll make it work!
There’s no set figure! We understand that some people don’t have huge incomes but have solid savings or other assets. We’ll look at your situation as a whole and find a way forward. So even if your income isn’t as high as you'd like, we focus on your ability to make payments and work with you to make it work.
Plan your finances easily with our affordability and buy-to-let (BTL) calculators and find out how much you could earn from investment properties.
As a broker, I struggle to find people who understand the complexities of Islamic finance.
Having known Offa’s executive team for years, I know they are some of the most knowledgeable professionals in the UK Islamic finance sector. And we are proud to work with them.
Nizam Patel
Our experience with Offa was exceptional. Their commitment to Shariah compliance sets the standard for what a bridge finance company should aspire to be, providing a much-needed alternative for clients seeking financial solutions that align with their religious beliefs.
Ashraful Islam
I wholeheartedly recommend Offa to anyone seeking a more personal and ethical approach to property finance. Throughout my journey with Offa, Sayful’s dedication and availability were unparalleled, and it felt like I had a trusted advisor by my side at every turn.
Mozammel Haque - Dentist
