CalSTRS Searching for Home Loan Program Servicing Firm
Firm will service growing mortgage program for California’s educators.
SACRAMENTO, CA – The California State Teachers’ Retirement System (CalSTRS) is searching for a firm to be the master servicing agent for its home loan program. The selected firm will assist CalSTRS employees in daily operations, record keeping and in the development of execution strategies.
The final filing date for proposals is July 30, 2009, with the selection expected in the fall of 2009.
The contract period is three years with the possibility of two one-year extensions. The proposing firms will have to show how they will assist CalSTRS in the following areas:
- Mortgage loan origination, underwriting and approval
- Mortgage loan delivery and servicing
- Reporting of mortgage loan data
- Technology tools and support
- Marketing assistance and support
- Customer service and client support
The CalSTRS Home Loan Program was created in 1984 as part of the investment portfolio and is focused on providing CalSTRS members with mortgage loans at a reasonable market rate. The program includes a range of mortgage options, including down payment assistance options and reverse mortgages. Running counter to the prevailing general mortgage market trend, the loan volume increased in 2008. Funding grew by $281 million and more than 1,500 loans for a total by December 31, 2008, of $4.6 billion, representing more than 35,000 mortgages.
The California State Teachers’ Retirement System, with a portfolio valued at $122.4 billion, is the second-largest public pension fund in the United States. It administers retirement, disability and survivor benefits for California’s 833,000 public school educators and their families from the state’s 1,400 school districts, county offices of education and community college districts.