If I get an Islamic mortgage for 200k, the bank might charge 210k, with the 10k being the profit they would take instead of interest. The monthly repayments for this mortgage will be split in two - one portion of it goes as rent, and the other portion is going towards buying more share of the house.
In a conventional mortgage, you would repay the bank for however much they have lent you towards the house plus interest.
So my question is, where is the rent portion of the repayment going? Is it going towards paying off the 200k that the bank used to buy the house? Why isn't rent counted towards me owning the share of the house? Or should I think of the rent as literally like rent which I would pay to my landlord if I rented a property?