Profit accrued from sale of a property purchased through an interest bearing loan

We understand from your query that a person took an interest bearing loan of $100 000.00 to purchase a property. Two years later, the property is now valued at $140 000.00 which he intends selling for $140 000.00.

In the above scenario, the person will be sinful for borrowing money on interest. Rasulullah Salallahu Alaihi Wasallam cursed the person that pays interest. He should therefore sincerely repent to Allah Ta’ala for engaging in such a transaction and settle the interest-bearing loan as soon as possible. However, the $40 000.00 profit accrued from the sale of the property will be permissible for him to use.