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Mathematical Modeling of Real Estate Financial Analysis of Mortgage Loan

Date: January 14,2023 |Hits: 555 Download PDF How to cite this paper

Mohammad Tanzil Hasan1,*, M. Abul Hossion2

1Department of Mathematics, Bangabandhu Sheikh Mujibur Rahman Maritime University, Bangladesh.

2Department of Physics, Bangabandhu Sheikh Mujibur Rahman Maritime University, Bangladesh.

*Corresponding author: Mohammad Tanzil Hasan


Mathematics of finance for mathematical modeling of real estate financial analysis of mortgage loan is considered in this article. Financial mathematics describes the application of mathematical methods and mathematical modeling to solve financial problems. It is at times referred to as financial engineering, quantitative finance, and computational finance. Inflation and its effect on standard mortgage loan instrument causes problem for both borrowers and lenders which are analyzed. Adjustable interest rate which is called adjustable rate mortgage or variable payment provisions that change with economic conditions is also examined here. In addition, graphical comparisons have been shown between constant payment mortgage and price level adjusted mortgage loan. For the analysis, mathematical models are described with examples. Mathematical computations have been done by using Mathematica. This paper may be beneficial for the persons who exactly want to better understand the real estate for their personal investment and for making financing decisions.


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How to cite this paper

Mathematical Modeling of Real Estate Financial Analysis of Mortgage Loan

How to cite this paper:  Mohammad Tanzil Hasan, M. Abul Hossion. (2022) Mathematical Modeling of Real Estate Financial Analysis of Mortgage Loan. Journal of Applied Mathematics and Computation6(4), 492-498.

DOI: http://dx.doi.org/10.26855/jamc.2022.12.011

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