Did CalSTRS recently suspend its home loan program because of the funding shortfall?
CalSTRS is temporarily suspending its Home Loan Program because the program’s administrator and loan servicing agent, Bank of America, has decided to sell their correspondent lending business. The suspension, effective October 1, 2011, is not in any way related to CalSTRS long-term funding shortfall.
CalSTRS intends to resume the Home Loan Program as soon as possible after thoroughly exploring the options available in the home mortgage market and establishing a partnership with a new loan servicing agent.
In the meantime, you are welcome to contact a Home Loan Program Manager at email@example.com to learn more about options still available. Although new loan originations have ceased, there will be no impact on the servicing of loans already originated through the program