Short answer
A raffle where you pay for a ticket for a chance to win a prize is gambling, so it is not permitted, even when the money goes to a masjid or charity. Free prize draws, where no one has to pay to enter, are allowed. Buying something you want at its normal price and getting a free entry is also fine.
Paid raffle tickets are qimar and haram whatever the cause. A free draw is a lawful gift from the organiser. When an entry comes with a purchase, it is permitted if the buyer pays nothing extra for the chance and would buy the item anyway.
The four schools agree on this.
Explanation
A raffle ticket buys a chance. Most buyers lose their money and one person takes a prize paid for by everyone, which is the shape of qimar. Giving the proceeds to a good cause does not change that. Allah is pure and accepts only what is pure, so a masjid or charity should raise money cleanly: ask people to donate, and thank donors with a gift that every donor receives.
Allowed:
- Free giveaways and "no purchase necessary" draws.
- Social media giveaways where you enter by following or sharing, as long as nothing haram is required.
- A prize draw at an event where everyone paid the same price for the event itself, and no one paid for the draw.
- A free competition judged on skill.
Not allowed:
- Charity raffles and 50/50 draws.
- Paying extra for more entries or a better chance.
- Contests where the prize comes from the entry fees.
- Paid mystery boxes and loot boxes with random contents, which many scholars treat the same way.
The four schools agree that a prize bought with a paid chance is gambling. See also Can a Muslim gamble?.
The evidence
Quran, Surah Al-Maaida 5:90
يَٰٓأَيُّهَا ٱلَّذِينَ ءَامَنُوٓا۟ إِنَّمَا ٱلْخَمْرُ وَٱلْمَيْسِرُ وَٱلْأَنصَابُ وَٱلْأَزْلَٰمُ رِجْسٌۭ مِّنْ عَمَلِ ٱلشَّيْطَٰنِ فَٱجْتَنِبُوهُ لَعَلَّكُمْ تُفْلِحُونَ ﴿٩٠﴾
O you who have believed, indeed, intoxicants, gambling, [sacrificing on] stone alters [to other than Allah], and divining arrows are but defilement from the work of Satan, so avoid it that you may be successful.
Paid raffles are a form of gambling.
Quran, Surah Al-Maaida 5:2
يَٰٓأَيُّهَا ٱلَّذِينَ ءَامَنُوا۟ لَا تُحِلُّوا۟ شَعَٰٓئِرَ ٱللَّهِ وَلَا ٱلشَّهْرَ ٱلْحَرَامَ وَلَا ٱلْهَدْىَ وَلَا ٱلْقَلَٰٓئِدَ وَلَآ ءَآمِّينَ ٱلْبَيْتَ ٱلْحَرَامَ يَبْتَغُونَ فَضْلًۭا مِّن رَّبِّهِمْ وَرِضْوَٰنًۭا ۚ وَإِذَا حَلَلْتُمْ فَٱصْطَادُوا۟ ۚ وَلَا يَجْرِمَنَّكُمْ شَنَـَٔانُ قَوْمٍ أَن صَدُّوكُمْ عَنِ ٱلْمَسْجِدِ ٱلْحَرَامِ أَن تَعْتَدُوا۟ ۘ وَتَعَاوَنُوا۟ عَلَى ٱلْبِرِّ وَٱلتَّقْوَىٰ ۖ وَلَا تَعَاوَنُوا۟ عَلَى ٱلْإِثْمِ وَٱلْعُدْوَٰنِ ۚ وَٱتَّقُوا۟ ٱللَّهَ ۖ إِنَّ ٱللَّهَ شَدِيدُ ٱلْعِقَابِ ﴿٢﴾
O you who have believed, do not violate the rites of Allah or [the sanctity of] the sacred month or [neglect the marking of] the sacrificial animals and garlanding [them] or [violate the safety of] those coming to the Sacred House seeking bounty from their Lord and [His] approval. But when you come out of ihram, then [you may] hunt. And do not let the hatred of a people for having obstructed you from al-Masjid al-Haram lead you to transgress. And cooperate in righteousness and piety, but do not cooperate in sin and aggression. And fear Allah; indeed, Allah is severe in penalty.
Good causes should be supported by lawful means.
Sahih Muslim 1015
Sahih... إن الله طيب لا يقبل إلا طيبا ...
"Allah is pure and accepts only what is pure."
Charity should be raised in a lawful way.
Sahih al-Bukhari 4860
Sahih... ومن قال لصاحبه تعال أقامرك فليتصدق ...
"Whoever says to his companion, Come, let me gamble with you, let him give charity."
Gambling is a sin even in a small, friendly form.
Where the ruling is recorded
- Radd al-Muhtar (Ibn Abidin), Kitab al-Hazr wa al-Ibaha, on qimar. Paying a stake for a chance at a prize is qimar.
- Fatawa Mahmudiyya, Chapter on qimar (gambling). Prize schemes are judged by whether entrants pay for the chance.
This answer is pending review by the scholars on our team. Quran translation by Sahih International. Hadith Arabic from the standard editions of the six books and the Muwatta, with gradings as recorded there; the English is our own rendering. Spotted a mistake? Tell us.