OPEN

Opendoor Technologies

DOUBTFUL — SCREEN DOES NOT PASSstock

Is OPEN Halal?

iBuying — property trading with heavy debt leverage.

What You Should Know

Opendoor's current filing describes home sales plus title, escrow and brokerage services, funded partly by non-recourse asset-backed debt and convertible notes. Property trading may be permissible, but leverage and interest costs are central to the model.

⚠️ Concerns

  • Debt-funded property buying uses riba
  • Leveraged real estate speculation
  • Title, escrow and mortgage contract review

Current quantitative Sharia screen

Based on 10-Q figures for the period ended 2026-03-31; calculated 2026-07-14.

USD · millions
Interest-bearing debt / assets
56.66%Above limit
Below 33.333% under FTSE Yasaar

1,331 / 2,349

Cash + interest-bearing securities / assets
42.53%Above limit
Below 33.333% under FTSE Yasaar

999 / 2,349

Receivables + cash / assets
42.95%Within limit
Below 50% under FTSE Yasaar

1,009 / 2,349

Non-compliant income / revenue
1.39%Within limit
No more than 5% under FTSE Yasaar

10 / 720

FTSE Yasaar
v4.6, February 2026
Financial
Fails
Overall
Fails

Debt/assets is 56.66%, above the examined limit; liquidity/assets is 42.53% and receivables plus cash/assets is 42.95%.

MSCI Islamic (total-assets series)
October 2024 methodology
Financial
Fails
Overall
Fails

Debt/assets is 56.66%, above the examined total-assets limit; the financial screen fails independently of the qualitative real-estate assessment.

Malaysia SAC financial ratios
single 5% activity benchmark adopted November 2025
Financial
Fails
Overall
Fails

Debt/assets is 56.66%, above the examined Malaysia SAC financial limit. This is a calculation against SAC ratios, not an official classification.

Market-cap denominator methods
MSCI M-Series, S&P and Dow Jones methods differ
Financial
Not calculated
Overall
Fails

A licensed historical market-cap series is not stored; the asset-based debt screen fails independently.

Business-activity disclosure

Opendoor buys and resells residential homes and provides title, escrow and brokerage services. Property trading can be permissible, but inventory financing, interest-bearing debt, mortgage products and leveraged real-estate speculation are material concerns.

Limitation: The filing does not allocate revenue by contract-level Sharia status or separately quantify every financing, title, escrow or mortgage component into a universal prohibited-revenue numerator.

Purification

Other income-net is $10 million and consists mainly of interest earned on cash and restricted cash; ZakatInvest does not prescribe a scholar-approved purification percentage, and the debt screen fails independently.

Inputs, assumptions and primary sources
  • Amounts are USD millions from Opendoor's March 31, 2026 Form 10-Q.
  • Interest-bearing debt includes $68 million of current non-recourse asset-backed debt, $193 million of current convertible notes and $1,070 million of non-current non-recourse asset-backed debt; leases are excluded.
  • Cash is $999 million. Escrow receivable is $10 million; no separate interest-bearing securities balance is identified in the condensed balance sheet.
  • First-quarter revenue is $720 million. Other income-net is $10 million and consists mainly of interest earned on cash, cash equivalents and restricted cash; it is used as the disclosed income numerator.
  • Opendoor's home sales and adjacent title, escrow and brokerage services are assessed qualitatively in addition to the failed financial screen.

This is a reproducible financial screen, not a fatwa. A failed total-assets screen can coexist with a pass under a market-cap methodology. ZakatInvest keeps the qualitative assessment separate so numerical thresholds do not erase material context.

🧾
Own OPEN? Purify your portfolio.
Per-holding purification amounts, zakat on your shares, and halal alternatives for flagged holdings — a personalized report prepared for you within 48 hours.
Order Your Report — $49 →
Track OPEN and 30,000+ stocks' live compliance status with Islamicly — 50% off with code ZAKAT50.Get Islamicly →

Want to screen more assets?

Use our interactive Halal Checker to screen any stock, ETF, or crypto instantly.

Go to Halal Checker →