"Frank Gaffney addresses the Defense Forum Foundation (DFF) in the House of Representatives on the topic of Shariah and, broadly defined, it's threat within the United States. Some topics include Shariah-Compliant finance and AIG, homeland security and the Muslim Brotherhood."
-- the ultimate issue is that there are Muslim supervisors who decide whether money should be lent or not on a case by case basis. It's subjective and it's biased. If the recipient promotes Shariah it's cool, if it's against Shariah, it's not. Shariah compliant finance is stealth jihad.
Your mistake here is thinking that if something is not against the shariah then it must be 'promoting' shariah. That's incorrect.
In Islam, everything is allowed (halal) unless it is clearly disallowed (haram), so someone administering a shariah compliant loan only needs to establish that it is not for the purposes of e.g. gambling, prostitution, the alcohol industry etc. If your business is to sell pet food then there would be no problem with that. You don't have to 'promote' shariah to get a loan.
Frankly, it's bordering on the absurd to say that shariah-compliant banking (if you find any that really is genuinely compliant, let me know by the way, I can't find one to buy a house) is 'stealth jihad' but again that reinforces my point that the lack of knowledge the west (particularly Americans) has about Islam is scary and makes it so easy for those with a vested interest in war to keep the ball rolling.
The comment you're replying to is pretty inflammatory. Bravo to you for responding in a rational fashion.
About home mortgages — it seems like it would be hard to apply the preferred-share-like structure I described to home mortgage financing. Your house doesn't produce profits that you could share with someone, does it?
Maybe you could sign over a fraction of your total family income in exchange for help buying the house: say, one third of your income for twenty years. But that would still be pretty risky for the investor, even more risky than investing in a hotel, where they have a plausible reason to believe that their investment will produce results. (And I have no idea whether it would be legal, either under the shariah or under civil or common law systems.)
I'm not sure whether to give the quick explanation to that or the proper one - an in-between one is that the income idea won't work because there is no guarantee that e.g. my health will continue OK for twenty years or that my job will remain steady. There would not be the equivalent of an income protection scheme available either.
There are simple methods available in principle based on the real rental value of the home and treating the buyer as a form of renter but in reality all the so called 'islamic' schemes do not actually involve risk sharing and consequently it's hard to be sure that they are indeed 'halal'. BTW on your first point it's Ramadan so if I do lose my patience I've blown it....:-)
http://youtu.be/5wLEvYcmj_Q (goto 12:00)
-- the ultimate issue is that there are Muslim supervisors who decide whether money should be lent or not on a case by case basis. It's subjective and it's biased. If the recipient promotes Shariah it's cool, if it's against Shariah, it's not. Shariah compliant finance is stealth jihad.