Extract from my blog:

Some suggest that it’s better to rent until you’ve saved enough to buy a home with cash. However, as mentioned earlier, saving with fiat currencies is extremely challenging due to their declining purchasing power caused by inflation resulting from the increased money supply, some of which comes from interest-bearing loans. I empathize with the renting perspective because, at least with renting, you’re not contributing to the increase of the money supply and are only dealing with the existing fiat currency in circulation. On the other hand, if you, as a Muslim, opt for “Islamic finance/banking” or a conventional mortgage, your loan creates a demand for more fiat currency to be injected into the economy. However, individuals advocating for renting should be aware that, despite not obtaining usurious riba loans from banks, the fact that they utilize fiat currencies for renting and purchasing other goods and services implies that they are still affected by the dust of riba. This underscores the insidious nature of the debt/riba system; even if you explicitly avoid interest-based loans, you are still entangled with riba due to the fiat currencies mandated by nation-states, which are created from debt/riba. “In the fiat system, riba is inherently baked in at the protocol level” ~ Saifedean Ammous. Does this not sound like one of the prophecies? The Prophet Muhammad (peace and blessings be upon him) stated: “A time will come upon people during which they will consume usury.” When asked if this applied to everyone, he replied, “Whoever does not consume it will still be affected by its dust.”

Source: Musnad Aḥmad 10191

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