A HOME FINANCING MODEL BASED ON PARTNERSHIP WITH PIECEWISE GEOMETRIC GRADIENT SERIES REPAYMENTS

One of the ways of being a homeowner is to make a deal with a financial institution based on making the loan payments with a specific interest rate over a certain period of time. the parties are being partners with financing the cost of the home with certain amounts in a home financing model based on partnership. the shares of the financial institution decrease steadily with periodic repayments of the customer to the financial institution and eventually the customer becomes the sole owner of the entire home. meanwhile, the parties share the rental income according to their shares on the agreement during the period of contract. in this study, general formulae are derived for a home financing model based on partnership with piecewise geometric gradient series repayments.