Agricultural Real
Estate Loans
Our farm real estate loans are structured to finance ag real estate purchases, construction of facilities and other improvements, and irrigation systems. Loans for non-traditional or transitional properties are also available. Real estate collateral can be used to refinance existing short-term and intermediate-term loans, as well as refinance existing debt held by other lenders.
Loan Details
- A variety of interest rate options are available, allowing flexibility to respond to market conditions
- No prepayment penalty options available
- No loan origination fees, but closing costs may apply
- Collateral valuations completed by internal appraisal team
- Mortgage Equity Line of Credit (MERLOC, similar to a HELOC) loans available
Payment Schedule
Your payment schedule can match the timing of when you get paid! Payments should align with the normal production cycle of the operation and are available:
- Monthly
- Quarterly
- Semi-annually
- Annually
- Custom
Interest Rate and Term Options
Fixed
- Rate locked for the life of the loan (up to 30 years)
- This option is the most stable for budgeting purposes
Fixed to Conversion
- Interest rate is fixed for a period of time and reprices periodically
- Typically structured to reprice every five years, but other increments from 1-15 years are available
Variable
- Established by the Board of Directors based on a Farm Credit Index
- Subject to monthly changes
- Generally reflects trends and changes in the money markets
Prime
- Rates are tied directly to the Prime rate
- Rate adjusts immediately in response to changes in the Prime rate
