□  "Preferential Rate Mortgage Loans" Discontinued

 KHFC announced that it will discontinue providing preferential rate mortgage loans for low-income persons who do not own homes as of October 31. The loans had been offered temporarily for one year through financial institutions beginning October 31, 2005.

  However, eligible potential borrowers who complete loan applications by October 31 (based on entry into financial institution's IT system) will be able to receive new loans by the end of December 2006.