Canadian Halal Investor.

NYSE Shariah screener · October 2026

Is American Homes 4 Rent (AMH) Halal?

FAIL

American Homes 4 Rent · NYSE: AMH · Real Estate

The short answer

American Homes 4 Rent fails this Shariah screener on debt: about $5.2 billion of interest-bearing debt is ~47.3% of its ~$10.99 billion market cap, over the 33% ceiling. Its rental-housing business passes gate 1 and interest income is ~0% of revenue.

Gate 1 — Business activity: PASS

Gate 1 — business activity: PASS. American Homes 4 Rent (NYSE: AMH) is, per its Q2 2026 earnings release, an internally managed Maryland REIT focused on 'acquiring, developing, renovating, leasing and managing homes as rental properties.' As of June 30, 2026, it owned over 61,000 single-family properties across the Southeast, Midwest, Southwest, and Mountain West regions of the United States, and delivered 651 newly constructed homes through its AMH Development Program in the quarter.

Rental income from residential property is a permissible business activity. The company is not an interest-based lender and is not involved in alcohol, gambling, pork, tobacco, conventional banking or insurance, or weapons. The business passes gate 1; its conventional leverage is assessed under gate 2.

Gate 2 — Debt and cash: FAIL

Gate 2 — interest-bearing debt: FAIL (47.3%, ceiling 33%). AMH's Q2 2026 balance sheet (June 30, 2026) reports a revolving credit facility of $390.0 million and unsecured senior notes, net, of $4,740.1 million. The company itself states 'total outstanding debt of $5.2 billion, excluding unamortized discounts and unamortized deferred financing costs,' at a weighted-average interest rate of 4.5% and a weighted-average term to maturity of 7.6 years (senior-notes maturities run from 2028 to 2052).

$5.2 billion of interest-bearing debt against a market capitalization of about $10.99 billion (Finnhub, October 2, 2026, $30.53 per share) is about 47.3% — over the 33% ceiling. REIT leverage is structural to the business model, and here it fails this screener on the debt gate alone. Cash and cash equivalents of $83.7 million plus restricted cash of $174.0 million at June 30, 2026 represent about 2.3% of market cap.

Gate 3 — Non-compliant income: PASS

Gate 3 — non-compliant income: PASS (0.0%, ceiling 5%). Zoya's AAOIFI-based analysis of AMH's FY2025 Form 10-K (year ended December 31, 2025) cites revenue of $1,866,169 thousand with $0 of separately disclosed interest income — 0.0%, under the 5% ceiling. The company's income statements report only combined 'other income and expense, net' ($4.6 million in Q2 2026), with no material interest-income line.

Because the stock already fails gate 2, the overall result is FAIL regardless of this passing gate.

Key figures used

Frequently asked questions

What does American Homes 4 Rent do?

American Homes 4 Rent (NYSE: AMH) is an internally managed Maryland real estate investment trust (REIT) focused on acquiring, developing, renovating, leasing, and managing single-family homes as rental properties. Per its Q2 2026 earnings release, it owned over 61,000 single-family properties in the Southeast, Midwest, Southwest, and Mountain West regions of the United States as of June 30, 2026, and delivered 651 newly constructed homes through its AMH Development Program in the quarter.

Is American Homes 4 Rent's business Shariah compliant?

American Homes 4 Rent's business is rental housing - owning and leasing single-family homes, which is a permissible business activity. It is not an interest-based lender and is not involved in alcohol, gambling, pork, tobacco, or conventional banking or insurance. The business itself passes this screener's first gate; the company's conventional leverage is assessed under gate 2.

How much interest-bearing debt does American Homes 4 Rent have?

American Homes 4 Rent's Q2 2026 balance sheet (June 30, 2026) reports a revolving credit facility of $390.0 million and unsecured senior notes, net, of $4,740.1 million. The company itself states total outstanding debt of $5.2 billion, excluding unamortized discounts and unamortized deferred financing costs, at a weighted-average interest rate of 4.5% with 7.6 years average maturity. $5.2 billion against a market capitalization of about $10.99 billion (Finnhub, October 2, 2026) is about 47.3%, over the 33% ceiling - so it fails this screener's debt gate.

How much interest income does American Homes 4 Rent earn?

Zoya's analysis of American Homes 4 Rent's FY2025 Form 10-K (year ended December 31, 2025) cites revenue of $1,866,169,000 with $0 of separately disclosed interest income, about 0.0% - under the 5% non-compliant income ceiling. The company's income statements report only combined other income and expense, net, with no material interest-income line. Because the stock already fails the debt gate, the overall result is FAIL regardless.

What do third-party Shariah screeners say about American Homes 4 Rent?

Zoya publishes an AMH page under its AAOIFI methodology (updated September 2026) flagging AMH as not Shariah-compliant based on its latest financial reports, citing FY2025 revenue of $1,866,169,000 and $0 of separately disclosed interest income. ShariaPortfolio's public screener page states AMH is not Shariah Compliant because it fails the financial ratios. I could not verify a Musaffa rating page for AMH from public sources. Third-party screeners apply different assumptions and update on different schedules, and their results can change when new financial statements are published - always check the latest screening before investing.

Sources

Screened 2026-10-02 from published company figures and market data. Figures change; this page is educational, not financial advice and not a religious ruling.

Screened with our two-gate Shariah screening methodology (business-activity gate, then AAOIFI-style financial ratios).