I'm sure that it's not really a no-interest loan, but a bookkeeping trick that pushes all the costs up front and preserves the fiction of zero-interest without incurring losses to the lender. That's why they set up an LLC.
Exactly. They aren't going to be losing money over this.
Can they eat pork of they set up an LLC which relabels the pork as "beef"?
If people think these Mohammedans are getting interest free loans, and paying principal only, they're wrong.
The way these things work is that an intermediary keeps the title of the house, and charges the Mohammedan the principal and RENT over and above the principal.
So, instead of paying interest, they pay "rent."
They are not getting a better deal than anyone else. When it's all said and done, it's probably a worse deal, but technically they are not paying any interest.
you are correct.
The system is sure to be gamed, however.