Theoretical Framework of Financing Subsidized Housing in a Developing Environment

This paper is aimed to present a theoretical framework of financing subsidized housing, considering the experience of a developing country, which is Palestine. The paper suggested new innovative techniques related to financing subsidized housing programs that may be offered through public firms, cooperative, local business and international business firms. In addition, their relevant investment formulas and models have been articulated and presented using different bases. The features of the suggested innovative methods of financing subsidized housing are to assure the continuity of the related specialized institutions. To prevent allocated principal funds from being exhausted, in order that the funds may be rotated for others beneficiaries. To keep the cost of financing as a minimal as possible. To maximize the subsidized margin, using various ranges of margins to fit all social classes of beneficiaries