One of the best things that you can do to learn more about obtaining a farm loan is to align with a bank that can help you navigate the process. There are a lot of misconceptions about a farm loan and who is eligible as a borrower. By partnering with a bank that specializes in farm loans, it will not only increase your knowledge but your success.
Having Plains Land Bank on your side will help you to take advantage of the farm loans available to you. In 2018, the total value of farmland and buildings in the United States came in around $2.7 trillion. With this incredibly high value, it's surprising that a lot of people are missing out on the opportunity to get the farm loan financing that they need.
Basic Eligibility Requirements
A lot of young borrowers think that because of their age, they are not eligible for farm loan programs. You can take out a farm loan even if you are 35 years old or younger. As long as you are either a rancher, farmer or harvester of aquatics you may be eligible for a farm loan.
Basic eligibility requirements for this type of lending can be met by young farmers, small farmers, and even beginning borrowers. In other words, you may be eligible to participate in the Farm Credit system and not even know it.
One of the many misconceptions about farm loan programs is that they are only for the large-sized, well-established farms or ranches. The truth is that there is a program especially for people that gross under $250,000 in sales every year from their agricultural activities.
If you are with the right bank, like Plains Land Bank for instance, you can get the support you need to take advantage of farm loans. Eligibility requirements can be more flexible than you think.
Use a Farm Loan Calculator
Now that you know that you may meet the eligibility criteria, it is time to find out how much you can comfortably borrow. Farm loan calculators are the best tools to figure out how much a loan will cost you each month and see if that payment can fit into your budget.
Your lender can help you to decide how much farm loan financing you can afford. At Plains Land Bank we will work with you to ensure that you get the financing that you need under the right terms.