<br><br><div class="gmail_quote">On Wed, May 21, 2008 at 12:31 PM, Zev Sero <<a href="mailto:zev@sero.name">zev@sero.name</a>> wrote:<br><blockquote class="gmail_quote" style="border-left: 1px solid rgb(204, 204, 204); margin: 0pt 0pt 0pt 0.8ex; padding-left: 1ex;">
Richard Wolpoe wrote:<div class="Ih2E3d"><br></div><br>
It doesn't answer the question, because the investor's repayment and<br>
dividend is supposed to come out of the profits the business produces.<br>
A residential house doesn't produce any profits until it's sold (and<br>
it may not do so then either). Unless you decide that the house belongs<br>
to the "iska", and the "borrower" is actually buying it from the "iska"<br>
in instalments, and paying rent in the meantime. That could work with<br>
a house, and I suppose it might work with shares too, since I believe<br>
there's a short-term rental market for shares, but then why make it an<br>
"iska", why not just buy it in the "lender's" name, and do the<br>
instalments and rent directly?<br>
<br>
And what will you do with a car? A private car is certainly not a<br>
profit-making business! And a chasunah doesn't even leave something<br>
that can be sold! The only way I can see an actual "heter iska" in the<br>
original sense working is if we all agree to pretend there's a business<br>
going on, and the one who claims the emperor is naked has an impossible<br>
burden of proof, even though everyone knows he's right. I'm pretty sure<br>
that level of sham can't be sustained halachically. Whereas the KSA's<br>
scheme with the cheques doesn't depend on any business, and can be used<br>
for any purpose. Ditto for the SA Harav's scheme with the building,<br>
except that you have to actually have a building (or buy one for this<br>
purpose).<div class="Ih2E3d"><br>
<br>
<br>
-- <br>
Zev Sero </div></blockquote><div><br>First: I have a lot of family in the real estate business. I don't know a lot about he technicalities of heter iska, <br><br>My original post was to make a distinction - hilluk -between real estate and auto loans etc. Ein Hachi name, I do not see a car loan as an "iska" at all - unless one invests in antique cars, etc.<br>
<br>But even when one lives in a house, the investment aspect is a big part of the heshbon in getting a mortgage fro most people. And Many people "trade" houses quite frequently<br></div></div>B"H I have been in the same house for almost 18 years. But I have refied my original mortgage about 7-8 times already AND I have taken out TWO distinct Helocs. The business aspect of home-ownership is very much in the foreground of my mind. Not to mention the taz write-offs etc.<br>
<br clear="all"><br>-- <br>Kol Tuv / Best Regards,<br>RabbiRichWolpoe@Gmail.com<br>see: <a href="http://nishmablog.blogspot.com/">http://nishmablog.blogspot.com/</a>