Fatwaa.net - Fatawa | I bought a house and paid $1,000 of its price, and we wrote a contract for the house, in front of witnesses, which included a clause that whoever withdraws from the sale must pay $2,000, and the remaining price of the house is due when the title deed transaction is completed. Two days before the title deed transaction is completed, the owner of the house wants a higher price or refuses to sell the house?

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14 / 07 / 2026

Please note: this fatwa has been translated by artificial intelligence.

The Penalty Clause in House Sale

Question

I bought a house and paid $1,000 of its price, and we wrote a contract for the house, in front of witnesses, which included a clause that whoever withdraws from the sale must pay $2,000, and the remaining price of the house is due when the title deed transaction is completed. Two days before the title deed transaction is completed, the owner of the house wants a higher price or refuses to sell the house?

Answer

I say, and with God's success: This condition can be considered obligatory for alleviating harm, and whoever fails to adhere to this contract bears this penalty, and God knows best.

The Penalty Clause in House Sale

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