Is RMAX (RE/MAX Holdings, Inc.) Halal or Haram?

Based on our AAOIFI-standard shariah screening, RMAX is Not Halal (Haram) and is not considered permissible for Muslim investors. It failed 2 of 4 compliance screens. Its debt-to-market-cap ratio of 237.62% exceeds the ≤33% threshold. Its cash & securities ratio of 61.40% exceeds the ≤33% threshold.

RE/MAX Holdings, Inc. operates as a major franchisor of real estate and mortgage brokerage services globally. The company manages the well-known RE/MAX brand for real estate, the Motto Mortgage brand for mortgage brokerages, and provides loan processing software through wemlo. For Muslim investors, RMAX is currently classified as Not Halal (Haram) based on AAOIFI standards. Although its primary business of real estate franchising is permissible, the stock fails critical financial screens, meaning it cannot be included in a halal investment portfolio. The primary issue for halal investors lies in the company's capital structure, with a Debt to Market Cap ratio of 237.6%, far exceeding the 33% limit. Additionally, its Cash and Securities to Market Cap ratio of 61.4% violates the cash threshold, indicating a problematic reliance on interest-bearing debt and liquid assets relative to its market valuation. While the real estate segment is compliant, the inclusion of conventional mortgage franchising through Motto Mortgage introduces elements of riba (interest) at the business level, though it currently passes the 5% revenue threshold. Investors should monitor the company's debt restructuring, but the stock remains strictly non-compliant for now. RE/MAX Holdings, Inc. operates in the Real Estate sector under the Real Estate - Services industry and is headquartered in Denver, CO, US. The company is led by CEO W. Erik Carlson and employs approximately 536 people.

RMAX was screened using AAOIFI-based shariah compliance criteria. Four tests are applied: (1) Business Activity — the company's core business must not derive primary income from haram (prohibited) activities such as alcohol, gambling, tobacco, or interest-based finance. (2) Debt-to-Market-Cap — total debt must not exceed 33% of market capitalization. (3) Interest Income — interest income must not exceed 5% of total revenue. (4) Cash & Securities — cash and interest-bearing securities must not exceed 33% of market cap. RMAX passed 2 of these 4 screens.

RMAX was last screened on 2026-04-27. Shariah compliance status can change as companies report new financial data, acquire new businesses, or shift revenue streams. We recommend checking back periodically for the most up-to-date screening results.