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Offa Islamic mortgage review
Offa is one of the UK's Islamic home finance providers, offering its Diminishing Musharakah + Ijarah range across England and Wales. We found and recorded 10 published products, the lowest published UK resident rate being 5.50% and the lowest fixed rate 5.75%, all checked against Offa's own product pages and published documents on .1
This is a research review of what Offa publishes about its products and criteria. It is not a customer-service review and not a personal recommendation. We have no application data and we do not rate providers. Where its own documents are unclear or incomplete, we say so rather than filling the gap.
- Structure
- Diminishing Musharakah + Ijarah
- Regulated owner-occupied
- Yes
- FCA reference
- FRN 1000573, as published
- Finance range
- £60,000 to £1.5m; new build max £1m
- Term
- 7 to 40 years
- Available through
- Direct and intermediary
1 10 rate records and 8 criteria facts taken from the provider's published pages on 6 August 2026. Firm reference number as published by the provider. Direct verification against the FCA Register, including permissions and any restrictions, is still outstanding.
4 source documents · rate review interval 14 daysWhat we found in Offa's rate card
Each finding below comes from comparing every product the provider publishes against every other. We re-test them whenever the rate data changes, and a finding that stops being true stops appearing here.2
- Crossing 80% changes the rate and the fee together
The two-year rate rises from 5.80% to 6.60% as soon as you need more than 80% finance-to-value, and the product fee moves from £499 to £999 at the same point. Both change together, so the step costs about £99 a month on £200,000 plus £500 more up front. This is the largest pricing step in the UK resident fixed-rate grid we hold.
- The five-year rate is often below the two-year
At 3 of the 4 deposit tiers we hold, the five-year fixed rate is lower than the two-year: 35% deposit at 5.75% against 5.80%, 10% deposit at 6.58% against 6.60% and 5% deposit at 6.88% against 6.90%. The exception is 20% deposit, where the five-year is 5.88% against 5.80%. Offa's current grid does not follow a simple "shorter fix means lower rate" pattern, so it is worth checking both terms rather than assuming.
- The lowest advertised rate is not a fixed rate
The lowest rate Offa advertises, 5.50%, is a discounted variable product rather than a fixed one, and it is limited to 35% deposit or more. Its early settlement charge is nil, which is unusual and genuinely useful if you may repay early. The cheapest fixed rate is 5.75%, so the headline figure and the rate most buyers compare are not the same product.
2 Each finding carries its own test. The comparison runs against the current rate records every time the site is built, so a conclusion cannot outlive the data it came from. Read the methodology
Current Offa Home Purchase Plan rates
Fixed rates available to a UK resident run from 5.75% to 6.90%. Each cell shows the cheapest product at that deposit tier with the fees attached to that same product, so nothing here pairs a rate from one product with a fee from another. Every rate shown is an initial rate. We hold no published follow-on rate for this provider.
| Deposit | 2 years fixed | 5 years fixed |
|---|---|---|
| 35%up to 65% finance-to-value | 5.80% £499 + £149 product fee plus application fee | 5.75% £499 + £149 product fee plus application fee |
| 20%up to 80% finance-to-value | 5.80% £499 + £149 product fee plus application fee | 5.88% £499 + £149 product fee plus application fee |
| 10%up to 90% finance-to-value | 6.60% £999 + £149 product fee plus application fee | 6.58% £999 + £149 product fee plus application fee |
| 5%up to 95% finance-to-value | 6.90% £999 + £149 product fee plus application fee | 6.88% £999 + £149 product fee plus application fee |
Discounted variable products
| Deposit | Rate | Fees | Early settlement |
|---|---|---|---|
| 35%up to 65% finance-to-value | 5.50%discounted variable | £499 + £149product plus application | None |
| 20%up to 80% finance-to-value | 5.60%discounted variable | £499 + £149product plus application | None |
Compare Offa with the other UK providers
Rates read from the rate card effective 14 April 2026, still on the provider's live page when we checked on 6 August 2026.
What deposit does Offa require?
The maximum finance-to-value is not a single number. Offa publishes 2 of them, and which one applies depends on who you are and how much you need. Meeting a tier is not the same as qualifying: income, credit history and the property all affect an application.
Minimum age 18 years. Published on the Home Purchase Plan overview page as "Minimum age 18".. Maximum age Not publicly verified. Minimum finance £60,000.
Who can apply for Offa's Home Purchase Plan?
Offa publishes a compact set of HPP entry criteria alongside its product range. Everything below is taken from its own pages on . Meeting these does not mean an application succeeds: affordability, credit history and the property are all assessed separately.
- Minimum age
- 18 years. Published on the Home Purchase Plan overview page as "Minimum age 18".
- Maximum age
- Not publicly verified. The rate card states the term is subject to a maximum age but does not publish the age.
- Minimum property value
- £80,000. Published on the Home Purchase Plan overview page as "Minimum property value £80,000", alongside minimum finance £60,000 and a minimum 5% deposit.
- Minimum finance
- £60,000
- Maximum finance
- £1,000,000, new-build purchases
- Property location
- England and Wales only
Where a figure differs between Offa's consumer and intermediary channels, both are shown in the findings above and neither is treated as settled.
What fees does Offa charge?
Offa publishes 2 different fee structures across its range, and the cheapest rate does not always carry the cheapest fee. On a smaller amount of finance a flat fee costs proportionally more, which is how a lower rate can end up being the dearer deal.
| Product type | Product fee | Application fee | Early settlement |
|---|---|---|---|
| 2 years fixedabove 80% finance-to-value | £999 | £149 | 2%, 1% |
| 2 years fixedup to 80% finance-to-value | £499 | £149 | 2%, 1% |
| 5 years fixedabove 80% finance-to-value | £999 | £149 | 5%,4%,3%,2%,1% |
| 5 years fixedup to 80% finance-to-value | £499 | £149 | 5%,4%,3%,2%,1% |
| Discounted variableup to 80% finance-to-value | £499 | £149 | None |
Early settlement charges: None; 2%, 1%; 5%,4%,3%,2%,1%. These apply if you repay or leave during the product period, and they are separate from the fees above. Work out the total cost including fees
What we could not verify
2 questions remain unresolved on Offa. We publish these rather than filling the gap with an estimate.
How we checked
Everything above comes from Offa's own published documents, read on . We hold 10 rate records and 8 criteria facts for this provider, each carrying the source it came from.
- Current HPP products
- HPP rate card 2026
- HPP tariff of charges
- HPP Shariah certificate, 5 February 2026
Rate review interval is 14 days, criteria 60. Changes are recorded publicly. See the change log · Read the full methodology
Common questions about Offa
- What are Offa's Islamic mortgage rates?
- We recorded 10 published products on 6 August 2026. The lowest published UK resident initial rate is 5.50%. Rates vary by deposit tier and fixed period, and the rate is only part of the cost: product and application fees are published separately and are shown against every product in the table above.
- What deposit does Offa require?
- Offa does not publish a single figure. We hold 2 separate finance-to-value rules for it, each with its own conditions, so the deposit you need depends on the product, the property and your circumstances rather than on the provider alone. The highest ceiling we hold is 95%, which means a deposit from 5%. The top tier applies to UK residents; lower ceilings apply in other cases, down to 80% finance-to-value. Every tier is set out above.
- Is Offa a real Islamic bank, and is it regulated?
- Offa publishes FRN 1000573 as its Financial Conduct Authority firm reference number. We record that as published by the provider and have not yet confirmed it against the FCA Register ourselves, which we say plainly rather than implying a check we have not done. Whether a product is Sharia-compliant is a question for the provider's own scholars and certification, which we describe rather than rule on.
- What could you not verify about Offa?
- 2 questions about Offa remain open in our register, listed on this page with what we tried and what we would need to close them. We publish the gap rather than filling it with an estimate, and every figure here carries the document it came from and the date we read it.
Tell us what the published data could not answer
Everything above comes from what providers publish. Whether a provider will actually take you depends on affordability, credit history and the property itself, and on criteria nobody prints. Tell us what you are stuck on and we will come back to you.
Everything Offa publishes is above, including what we could not verify. Whether it would take you is decided in underwriting, which nobody publishes.