Guidance Residential
4.8
(847 reviews)The largest Islamic home financing provider in the US, having financed over $10 billion in Sharia-compliant mortgages for 40,000+ families since 2002. Serves 35 states. AAOIFI certified. Sharia board chaired by Justice Muhammad Taqi Usmani.
Reviewed by Fair Meridian: April 2026
Profit Rate
6.99% – 7.99%
Min Down
20%
States Served
All 50 States
Overall Rating
4.8/5
About Guidance Residential
Guidance Residential is the largest and most established Islamic home financing provider in the United States. Founded in 2002 and headquartered in Reston, Virginia — a suburb of Washington DC with one of the largest Muslim communities per capita in the country — Guidance has financed over $9 billion in Sharia-compliant home purchases across all 50 US states.
Guidance uses the Diminishing Musharakah (co-ownership) model as the foundation of its home financing. Under this structure, you and Guidance jointly purchase the property. Each month, your payment consists of two parts: a profit payment on Guidance's share of the property, and a purchase payment that buys out a portion of Guidance's ownership. Over time, your ownership share increases to 100% — entirely without compound interest (riba).
Guidance is certified by the Accounting and Auditing Organization for Islamic Financial Institutions (AAOIFI), the leading international standard-setting body for Islamic finance. Its Sharia Supervisory Board includes internationally recognized Islamic scholars who review all products and contracts.
Guidance has been rated A+ by the Better Business Bureau and has served hundreds of thousands of Muslim families across the United States. It is the only Islamic mortgage provider to have financed homes in all 50 US states.
Founded2002 (24 years in business)
Sharia CertificationAAOIFI
Certified Since2002
HeadquartersReston, VA
NMLS License#178429 — Verify on NMLS ↗
Fair Meridian Analysis
Guidance Residential stands apart from other Islamic mortgage providers in the US on three dimensions: scale, geographic reach, and institutional credibility.
On scale: Guidance has financed more than $9 billion in Islamic home financing since its founding in 2002. No other Islamic mortgage provider in the US comes close to this volume. This scale means Guidance has the capital and infrastructure to close loans quickly and serve a wider range of buyers than smaller providers.
On geographic reach: Guidance is the only Islamic mortgage provider licensed to operate in all 50 US states, including low-demand states where smaller providers have not invested in licensure. Whether you are buying in Michigan or Montana, Guidance can serve you.
On institutional credibility: Guidance's AAOIFI certification and its Sharia Supervisory Board — which includes scholars from the US, Malaysia, and the Middle East — give it a level of scholarly oversight that competitors rarely match. AAOIFI is the international gold standard for Islamic finance compliance.
Who is Guidance Residential best for? Guidance is the best choice for buyers who want the most established and trusted name in US Islamic home financing, buyers purchasing in states with limited local provider options, and buyers who need jumbo financing above the conforming loan limit. Guidance offers financing up to $3 million through its jumbo program.
Who might prefer a different provider? Buyers in Michigan may find UIF Corporation offers more competitive profit rates and local expertise. Buyers seeking investing or banking products alongside a mortgage may prefer a provider with a broader product suite.
Analysis updated: April 2026
Products & Financing Structures
mortgagemortgage
Diminishing Musharakah Home Finance
Co-ownership home financing. You and Guidance jointly purchase the property. Monthly payments build your ownership share until you own 100% — with no compound interest.
Profit Rate: 6.99%–7.99%Min Down: 20%Terms: 15, 20, 30 years
Jumbo Islamic Home Finance
Sharia-compliant financing above the conforming loan limit for high-value properties in expensive markets like California, New York, and Northern Virginia.
Profit Rate: 7.25%–8.25%Min Down: 20%Terms: 15, 30 years
Sharia Compliance: All products are structured to avoid Riba (interest), Gharar (excessive uncertainty), and Maysir (speculation) in accordance with Islamic jurisprudence.
Serves All 50 US States
Guidance Residential is licensed in all 50 US states. See local provider options and state-specific regulations for the most active Islamic finance markets:
Independent Rating Breakdown
Overall Score
4.8
Sharia Compliance
5.0
Transparency
4.7
Customer Service
4.6
Rate Competitiveness
4.5
⭐ Editor's Top Pick
Guidance Residential scores highly on Sharia compliance verification and product transparency. Independently verified by the Fair Meridian team.
Ratings based on Fair Meridian's independent review process. Not influenced by advertising or provider payments.
Expert Verdict
Guidance Residential remains our #1 recommendation for US Muslim homebuyers. Its $10B+ track record for 40,000+ families, AAOIFI certification with Justice Muhammad Taqi Usmani chairing the Sharia board, and jumbo program up to $3M make it the most complete Islamic mortgage provider in the US.
Verdict issued: April 2026
Sharia Advisory Board
Sheikh Yusuf Talal DeLorenzo
Chief Sharia Officer
Leading Islamic finance scholar; former AAOIFI board member; author of Compendium of Legal Opinions on the Operations of Islamic Banks
Dr. Mohammad Anas Zarqa
Sharia Board Member
PhD Islamic Economics; former Islamic Development Bank scholar
Frequently Asked Questions — Guidance Residential
Guidance Residential has financed over $9 billion in Sharia-compliant home purchases since its founding in 2002, making it the largest Islamic mortgage provider in the United States by total volume. This represents hundreds of thousands of families who have purchased homes without paying interest.
Guidance Residential is licensed to serve all 50 US states, making it the only Islamic mortgage provider with truly national coverage. It is particularly active in California, Texas, Virginia, Maryland, New Jersey, Michigan, Illinois, and New York — states with the largest Muslim populations.
Guidance Residential's current profit rates for its Diminishing Musharakah home financing range from approximately 6.99% to 7.99% for standard financing (2026 estimates). Jumbo financing rates are slightly higher. Rates change with market conditions — contact Guidance directly for a current rate quote.
Yes. Guidance Residential is certified by AAOIFI (Accounting and Auditing Organization for Islamic Financial Institutions), the leading international standard-setting body for Islamic finance. Its Sharia Supervisory Board includes internationally recognized Islamic scholars who review all products, contracts, and operations.
Guidance Residential requires a minimum 20% down payment for standard home financing. For jumbo financing (above the conforming loan limit), the minimum down payment may be higher depending on the loan amount and property type. Some first-time buyer programs may offer lower down payment options.
Customer Reviews
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