The Muslim property management consists of dual forms. Firstly, property management is related to an individual’s assets. Secondly, it is related to the inheritance of the deceased family members. Whenever the owner did not make any plans or could not finalise the documentations upon the properties owned, the property (inheritance) management will be engaged. Conventionally, the heir(s) will manage the inheritance. They are responsible for handling the distribution as fast as possible but in proper procedures.
Failure of the heirs to manage to the inheritance efficiently, leads to some poor situations, for instance, illegal ownership; unclear debt to creditors; unclaimed property; increase in the number of heirs if it is prolonged; family break up due to inheritance denial; uncertain ownership status; and loss of related documents or the heir might forget the details or information about the property.
Based on the previous discussion regarding inheritance management, increasing unclaimed property among Muslims in Malaysia has become a critical problem. In 2020, conflicts among heirs, lack of awareness, and carelessness have become common factors of almost RM70 billion of unclaimed property, in which the majority are among the Malays. The amount is significant enough to develop the country’s economy.
Unfortunately, the amount continuously increased to RM90 billion this year. Despite the debatable figures, the phenomenon should become a solid reminder for anyone to manage their property while still alive.
Property management and planning while still alive is a demand in Islam. In Surah al-Nisaa’ (4): 9, Allah S.W.T says: “And let those (executors and guardians) fear (injustice) as if they (themselves) had left weak offspring behind and feared for them. So let them fear Allah and speak words of appropriate justice.”
Whether an individual wishes to plan and manage the property by themselves or manage the deceased’s inheritance, there are three values required: accountability; fairness in delivering the rights while avoiding injustice; and being smart in ensuring the property is beneficial for them in the world and the hereafter. This will make them comprehend that faraid (the shariah formula in inheritance distribution) is not the only instrument that will solve the property (inheritance) problem once they pass away, but faraid is the last mechanism in property management.
There are three steps in managing own’s property which are identifying the family’s structure, including those who are significant to them; the net worth of the property; and identifying the instrument required to manage the property.
In addition, the owned property must be identified whether it is wholly owned or on the contrary; whether it is shared with other parties, or collateral or suchlike. It includes property in any form such as physical, money, shares, digital and others.
The instrument used by the property owner must be suitable for the recipient’s benefits while upholding justice. Among the challenges that hinder in carrying out the responsibility is the poor understanding and lack of proficiency among Muslims in Malaysia in managing property either for themselves or family members. Poor understanding in managing welfare includes unclear comprehension between hibah (grants) and will (wasiat). This will be adverse to one in planning their welfare wisely. On the one hand, Hibah grants ownership of property made by a person to someone still alive without any consideration (reprisal). On the other hand, wasiat is a gift after the owner’s death as a testator.
Every party, government agency, or individual should take these challenges seriously. Everyone should play their roles and consider this as collective weight, a national challenge, even as an ummah’s struggle.
For distribution methods of property management, there are seven ways property can be distributed or allocated to family members who have specific background and status, which are hibah (including gifts and alms), matrimonial properties, wakaf, will, trust, takaful, nazar (vow) and others.
Furthermore, all three steps mentioned above will get through a process that demands the intellectual and meticulousness of its owners. The process will engage in property listing, which the owner owns; responsibility screening; alimony, and debts. It also includes sales and purchase or trustee; clarification of the net worth of the property; and distribution or allocation based on wish or request. Other than that, consideration with Islamic law as the principal and fundamental; the decision of distribution upon heirs and non-heirs (according to shariah law); actions according to the procedure, legal and documentation; completed documentation; finally, allocation completion and the owner live their life as usual.
In conclusion, we should realise that property or inheritance is a burdensome trust given as recorded in the hadith of Rasulullah SAW, which means, “The feet of the son of Adam shall not move from before his Lord on the Day of Judgement until he is asked about five things: about his life and what he did with it, about his youth and what he wore it out in, about his wealth and how he earned it and spent it upon, and what he did with what he knew.”