Dr. Monzer Kahf, a prominent economist and counselor states: “Mortgage loan is a long term loan, if we were to deduct it from the Zakatable assets only very few persons would remain subject to Zakah. The fact is: normally we are not going to pay this loan from these assets. Hence, on the day of calculating Zakah, only the amount that you are going to use (for payment on a long-term loan) out of the existing Zakatable assets (mostly cash plus bank accounts plus investments is stocks and the like, IRA, 401K, etc.) is deductible from these assets.