SACRAMENTO, CA, April 1, 2005-The California housing finance agency today announced a new innovative program to make homeownership accessible to more Californians.

CalHFA’s new interest only PLUS loan will reduce mortgage payments by hundreds of dollars per month by allowing borrowers to pay interest only in the first five years of a 35 year, fixed rate mortgage loan.

Unlike other “interest only” programs that have rates that can balloon after the interest only period, this loan comes with a guaranteed fixed interest rate for the entire 35-year term.

For information on this interest only PLUS loan contact the CalHFA at www.calhfa.ca.gov or at telephone number 916 322 0249.