SUMMARY
The price of a house that is increasingly expensive makes not everyone can afford it because home is one of the basic needs for everyone. Bank Muamalat Indonesia has a financing product for the home namely is financing musyarakah mutanaqisah wal ijarah.This research is both a descriptive analysis, i.e. the author lays out all the data that includes data about the reasons to use the musyarakah mutanaqisah wal ijarah in financing Residential Sharia in PT.Bank Muamalat Indonesia Branch Ponorogo. contract relationships and data on musyarakah mutanaqisah and ijarah in financing Residential Sharia in PT.Bank Muamalat Indonesia Branch systematically Ponorogo, meticulous and factual with the deductive pattern i.e. a fringe theories or propositions that are common on musyarakah mutanaqisah then do an analysis of the data concerning multi contract to acquire a specific conclusion.This research concluded that the reason Bank Muamalat Indonesia branch using contract Ponorogo musyarakah mutanaqisah wal ijarah in financing the residence of Islamic Muamalat (PHSM) namely musyarakah mutanaqisah wal ijarah is suitable for contract be used as an alternative solution in financing PHSM in Bank Muamalat Indonesia branch Ponorogo.Bank Muamalat Indonesia branch using contract Ponorogo musyarakah mutanaqisah wal ijarah in financing the residence of Islamic Muamalat (PHSM) is reviewed from a multiple of contract that is allowed under Islamic law and does not include the category of the prohibition Hadith.The relationship contract musyarakah mutanaqisah and ijarah in Islamic Muamalat Residential Financing (PHSM) in Bank Muamalat Indonesia branch Ponorogo i.e. Shirkat al-' Belong ' (shared ownership) and ijarah.