Manzil's Musharaka rate sheet, effective September 30, 2026, prices a 5-year fixed term from 6.70%, a 4-year from 6.60%, a 3-year from 6.45% and a 2-year from 6.35%. On a $600,000 purchase with the 20% down payment Manzil requires, the financed amount is $480,000, and over a 25-year amortization the 5-year rate works out to roughly $3,242 a month, or about $3,143 on the 2-year rate. On top of that sit a 2% administration fee ($9,600), legal fees Manzil estimates at $4,000 to $6,000, an appraisal of about $350 and a $1,000 contribution to the Manzil Mortgage Fund. This page shows the arithmetic, every published fee and the point at which the Manzil figure should be checked against Eqraz and IjaraCDC.
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What Manzil publishes, and the date we fetched it
Manzil publishes a one-page Musharaka Halal Mortgage Rate Sheet on manzil.co with an effective date of September 30, 2026. It applies to new purchases, transfers and refinances, and it sets a maximum finance-to-value of 80%, a minimum credit score of 680, a gross debt service ratio of 39%, a total debt service ratio of 44%, a maximum financing amount of $1,500,000 and amortization of up to 25 years (300 months). Terms are open and renewable at 2, 3, 4 or 5 years, each fixed. Payments are monthly. The sheet itself says it is indicative and that the signed commitment letter governs.
The word that matters on the sheet is "from". The rates are floors, not promises. Manzil's help centre explains that the pre-approval uses a provisional Underwriting Annual Profit Rate, and that the binding rate is only confirmed in the commitment letter, based on the benchmark rate and market conditions on that date. The benchmark is the Government of Canada bond rate for the matching term, to which Manzil adds the Fund's margin. The table below uses the published floor rates on a $480,000 financed amount over 25 years, so treat every figure as the lowest number Manzil was advertising on the fetch date, not the number you will be offered.
| Term | Published rate (from) | Monthly on $480,000 | Profit paid over the term | Shares acquired over the term | Outstanding at renewal |
|---|---|---|---|---|---|
| 2-year fixed | 6.35% | $3,143 | $58,260 | $17,182 | $462,818 |
| 3-year fixed | 6.45% | $3,171 | $87,920 | $26,250 | $453,750 |
| 4-year fixed | 6.60% | $3,214 | $118,783 | $35,468 | $444,532 |
| 5-year fixed | 6.70% | $3,242 | $149,221 | $45,286 | $434,714 |
Those are the same four outputs Manzil's own calculator on its halal-homes page reports: payment, profit paid over term, shares acquired over term and outstanding shares at the end of term. Our figures follow the convention stated in that calculator's disclaimer, a constant rate compounded annually, not in advance. If you instead use the semi-annual compounding that Canadian lenders quote by law, the 5-year payment rises to about $3,274. The gap of roughly $30 a month is worth knowing about only because it explains why two calculators can disagree on the same inputs.
How the Musharaka payment is actually built
Manzil's Musharaka is a diminishing partnership. You and the Manzil Mortgage Fund buy the home together, you hold title (Manzil assigns you that right as a partner), and each month you pay two things: a profit payment on the Fund's remaining share, and a purchase of a slice of that share. Over 25 years the Fund's share falls to zero. The profit rate is not called interest because, as the help centre puts it, it is the component used to price the sale of the Fund's shares, with the bond rate as a public benchmark rather than a loan rate. The home financing hub covers the contract family in more detail.
In cash terms the schedule behaves like a fixed-rate amortizing mortgage, which is why the monthly numbers look familiar. What differs is what happens at the edges. You can make lump-sum share purchases every quarter, up to 20% of the Fund's outstanding shares per year. Paying the whole thing off mid-term triggers an Early Termination Sale Price, which Manzil describes as a pre-agreed price rather than a penalty, and which it does not publish as a formula. At the end of each 2 to 5 year term you renew the Musharaka conditions at the rate then on offer, exactly as a conventional borrower renews.
Three purchase prices at the 5-year rate
Because Manzil is not a CMHC-approved lender, every Manzil deal is an uninsured, 20%-down deal. There is no insured scenario to flag, which also means no mortgage insurance premium appears in any of these figures. The rows below hold the down payment at the 20% minimum and show the monthly figure at both the 5-year and the 2-year floor rates. The administration fee column is 2% of the financed amount, which Manzil lists as its main fee.
| Purchase price | 20% down | Financed | Monthly at 6.70% (5-year) | Monthly at 6.35% (2-year) | 2% admin fee |
|---|---|---|---|---|---|
| $450,000 | $90,000 | $360,000 | $2,431 | $2,358 | $7,200 |
| $600,000 | $120,000 | $480,000 | $3,242 | $3,143 | $9,600 |
| $800,000 | $160,000 | $640,000 | $4,322 | $4,191 | $12,800 |
The $1,500,000 financing cap means the largest purchase Manzil can fully fund at 20% down is $1,875,000; above that you need a larger down payment, and the rate sheet adds that the cap is also subject to the availability of money in the Mortgage Fund. If your down payment is below 20%, Manzil is not an option at all. IjaraCDC's Canada FAQ lists 5% on the first $500,000 of price and 10% on the balance, and Tjara's residential page advertises as low as 5% for qualified buyers, so those are the names to call for an insured-style structure. Our down payment guide walks through the trade-offs.
What a bigger down payment does to the $600,000 payment
Every extra five points of down payment on a $600,000 home removes $30,000 from the financed amount and roughly $200 from the monthly payment at the 5-year rate. The 2% administration fee shrinks in step, because it is charged on the financed amount rather than the price. Land transfer tax does not shrink, because it is charged on the price.
| Down payment | Cash down | Financed | Monthly at 6.70% (5-year) | 2% admin fee |
|---|---|---|---|---|
| 20% | $120,000 | $480,000 | $3,242 | $9,600 |
| 25% | $150,000 | $450,000 | $3,039 | $9,000 |
| 30% | $180,000 | $420,000 | $2,837 | $8,400 |
| 35% | $210,000 | $390,000 | $2,634 | $7,800 |
Murabaha versus Musharaka at Manzil: why only one number appears
Manzil's help centre describes two products. The Musharaka above is the one you can apply for. The Murabaha, a cost-plus sale that Manzil built as a term of up to 25 years with no renewals, is described as temporarily paused for new applications while the company concentrates on the Musharaka. The rate sheet we fetched is a Musharaka sheet only, so there is no published Murabaha figure to compare. If the Murabaha reopens, the monthly payment maths changes in one important way: the mark-up is fixed for the whole amortization, so there is no renewal risk, but there is also no quarterly share-purchase mechanic and the early payoff rules differ. Our Manzil Musharaka versus Murabaha explainer covers the contract differences.
One practical consequence of the pause: the help centre's note that closing costs can be capitalized applies only to Musharaka transfers and refinances. On a new purchase, the fees in the next section are paid in cash at closing.
Published fees versus quote-only items
Manzil is unusually direct about its fee list. The help centre names the administration fee as 2% of the financed amount, legal fees of approximately $4,000 to $6,000 because the structure is unusual and the closing lawyer must come from Manzil's recommended list, an appraisal fee of around $350, and a $1,000 contribution to the Manzil Mortgage Fund. It also lists land transfer tax and standard third-party items such as title insurance and a home inspection without pricing them. Our fees and closing costs hub explains which of those are negotiable.
- Published: administration fee of 2% of the financed amount, which is $9,600 on a $480,000 financing.
- Published as a range: legal fees of approximately $4,000 to $6,000, payable to a lawyer on Manzil's list.
- Published as an approximation: appraisal fee of around $350 for the mandatory property appraisal.
- Published: a $1,000 investment portfolio contribution to the Manzil Mortgage Fund.
- Quote-only: the binding profit rate, which appears in the commitment letter, and the rate at each renewal.
- Quote-only: the Early Termination Sale Price if you pay out the whole facility before the maturity date.
- Not Manzil's to set: provincial or municipal land transfer tax, title insurance, inspection and any lender-required insurance.
Putting that together for the $600,000 example, cash to close is the $120,000 down payment plus $9,600 plus roughly $5,000 plus $350 plus $1,000, call it $136,000 before land transfer tax, title insurance and inspection. Two tax points from the help centre belong in the same budget. First, transferring an existing mortgage to Manzil triggers a land transfer tax event, and buying more than 5% of the property's value in Fund shares within a single fiscal year may trigger another. Second, because the structure is a partnership, Manzil warns you may not qualify for HST rebates on a new-build purchase. The land transfer tax article runs the provincial numbers.
Eligibility rules that change the number before you apply
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The rate sheet's 39% gross debt service ratio is the first filter. At $3,242 a month, the payment alone is $38,904 a year, which needs just under $100,000 of gross household income before property tax, heating and half of any condo fee are added to the calculation. Manzil's help centre uses a blunter test in parallel: household income typically needs to be 3.25 to 3.75 times the financed amount's annual equivalent, which on $480,000 points to household income of roughly $128,000 to $148,000. Applicants need a 680 credit score, Canadian citizenship or permanent residence, Canadian tax residency, and a primary residence in a metropolitan area. Towns under 100,000 people in Ontario, or under 250,000 outside Ontario, may be treated as rural and excluded.
Geography is the other filter. The rate sheet lists Ontario, Alberta, British Columbia and Saskatchewan. The help centre's province article, updated July 28, 2026, adds New Brunswick and Newfoundland, says Quebec applications are paused because of unresolved technical issues, and names Nova Scotia as a target. Two more rules matter for the arithmetic: the financing is not portable, so selling and buying again means closing the facility and reapplying, and investment properties are considered case by case rather than priced on the sheet.
Using the HalalWallet calculator alongside Manzil's
Manzil's calculator is built around its own product: the down payment field refuses anything under 20%, the term field accepts 2 to 5 years, and the rate field points you to the rate sheet. That makes it accurate for Manzil and useless for anything else. The HalalWallet mortgage calculator runs the same amortization arithmetic for any rate, term, down payment and amortization you type, so you can put Manzil's 6.70% next to Eqraz's published 7.60% or a quoted IjaraCDC figure and see the monthly gap on identical inputs. Use Manzil's tool to confirm what Manzil will show you; use ours to decide whether to call anyone else. The halal mortgage rates hub tracks what each provider publishes.
Verdict: when to benchmark Manzil against Eqraz or IjaraCDC
On October 2, 2026, Eqraz's posted profit rates were 6.90% for a 1-year term rising to 7.60% for 5 years. On the same $480,000 over 25 years, Eqraz's 5-year rate produces about $3,542 a month using the semi-annual convention Eqraz says Canadian rules require, which is roughly $300 a month more than Manzil's 5-year floor. Eqraz also lists a one-time administration fee of $5,000 and a 2% commitment fee, so its upfront cost on this deal is in the same range as Manzil's. IjaraCDC publishes no rate at all; its Canada FAQ says pricing is generally at par with the market for the same scenario and higher for complicated files.
If you have 20% down, a 680 score, a metropolitan address in one of Manzil's six provinces and want the lowest published number today, Manzil's sheet is the one to beat and the 2-year 6.35% floor is the cheapest advertised halal mortgage rate we found in Canada on the fetch date. Benchmark against Eqraz when you want a 1-year term, when you live in Manitoba, Nova Scotia, Prince Edward Island or Quebec, or when a rural address fails Manzil's population test. Benchmark against IjaraCDC when your down payment is under 20%, when you are converting an existing mortgage rather than buying, or when your file needs the flexibility of a broker who can place it with more than one investor. In every case, ask for the commitment letter rate in writing before you compare, because the sheet rate is a floor. Facts checked against manzil.co, help.manzil.ca, eqraz.com, ijaracdc.com and cmhc-schl.gc.ca on September 12, 2026.
Frequently asked questions
What is Manzil's current halal mortgage rate?
Manzil's rate sheet effective September 30, 2026 lists Musharaka profit rates from 6.35% for a 2-year fixed term, 6.45% for 3 years, 6.60% for 4 years and 6.70% for 5 years. These are floors; the binding rate is set in the commitment letter from the Government of Canada bond rate for the term plus the Fund's margin on the commitment date.
How much is a Manzil mortgage per month on a $600,000 home?
With the minimum 20% down, Manzil finances $480,000. Over a 25-year amortization at the published 5-year rate of 6.70% the payment is about $3,242 a month, and at the 2-year rate of 6.35% about $3,143. Those figures use annual compounding as Manzil's calculator disclaimer describes; semi-annual compounding adds roughly $30 a month.
Does Manzil's calculator include fees and land transfer tax?
No. The calculator reports the monthly payment, profit paid over the term, shares acquired and the outstanding balance at renewal. The 2% administration fee, legal fees of about $4,000 to $6,000, the roughly $350 appraisal, the $1,000 Mortgage Fund contribution and provincial land transfer tax are paid separately at closing and are listed in Manzil's help centre rather than in the calculator.
Can I get a Manzil mortgage with less than 20% down?
No. Manzil is not a CMHC-approved lender, so it cannot offer insured financing and sets a 20% minimum down payment with a maximum finance-to-value of 80%. Buyers with 5% to 19% down should look at IjaraCDC, whose Canada FAQ describes 5% on the first $500,000 of price and 10% on the remainder, or ask Tjara about its advertised 5% entry point.
What happens to the payment when a Manzil term ends?
At the end of a 2, 3, 4 or 5 year term you renew the Musharaka conditions at the rate then on offer, so the payment can rise or fall. On the $480,000 example the outstanding Fund share after a 5-year term is about $434,714, and that balance is what the renewal rate applies to. Manzil does not publish renewal rates in advance.
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Is the Manzil Murabaha mortgage available?
Not currently. Manzil's help centre says new applications for the Murabaha cost-plus product, which it built as a term of up to 25 years without renewals, are temporarily paused while it focuses on the Musharaka. The published rate sheet covers Musharaka only, so there is no Murabaha figure to compare today.
