Rural Home Loan 

Hobby Farm/Part Time Loan

Bare Land Loan

Veteran (VA), FHA and USDA Loans

Commercial Farm and Ranch Loans

Rural Home Loan

A Rural property is a primary residence which may or may not include acreage and is located in a rural area or in a town having a population of 2,500 or less. Only minimal agricultural activity is permitted. Generally, little or no income is derived from the property and as in value of the farm-type outbuildings must not exceed 20% of the appraised value.  Family farm animals such as horses and 4-H Project animals and barns are allowed to be on the property.

Minimum loan amount is $100,000
Maximum loan amount is $417,000 
Must be able to put a minimum down payment of 5% on a purchase 
Refinance to 95% of appraised value 
Cash out to 80% of appraised value

Primary residence only 
Income must be verified from pay stubs and/or tax returns 
No stated income documentation 
Minimum credit scores of 620 

Hobby Farm/Part Time Loan

Hobby Farm Loans are designed for people who wish to finance a home on a property where they can produce some income from agricultural activity such as crops, livestock, hay, alfalfa, etc. Minimum $500 agricultural income can contribute to your total income for the purpose of qualifying for the loan; it cannot be your primary source of income.

Minimum loan amount is $100,000, maximum loan amount is $3,000,000 
Loans to 80% of the purchase price with no mortgage insurance  
Refinance or cash out to 80% of appraised value 
Cash out to 75% of appraised value, 65% on manufactured homes 

Maximum 36% debt-to-income ratio - dwelling must be 25% of overall value 
Primary residence or second home 
Income must be verified from pay stubs and/or tax returns 
No stated income documentation 
Credit Scores over 660 

Bare Land and Rural Site Loan

Rural land site loan is designed for people who wish to finance an unimproved or improved property on which they intend to build a home in the future. Limited agricultural activity may occur on the property, but no intensive farming.

Up to 75% LTV for rural land site acreages, generally 10 to 160 acres
Minimum credit score of 620 with no late payments in last 2 years
Borrower will state intent to build a single family personal residence on property
Full doc-income must be verified from pay stubs and/or tax returns
Minimum loan amount is $100,000
No cash out
25 year fixed rate and adjustable rate programs
No prepayment penalty
Property cannot be in city limits unless city population is under 2,500 
No commercial or real estate development projects allowed
Purchase or refinance allowed 

FHA Loan

FHA Loan for the Purchase of Rural Property
Low down payments – up to 97%
Low closing costs 
Easy credit qualifying 
Property cannot exceed 20 acres
Value of dwelling must be 50% of appraised value

VA Rural Home Loan 

The Veterans Administration guarantees/insures farm loans that allow for Veterans to purchase a primary home or refinance their current home in a rural, suburban or urban environment. There is no limit on acreage as long as the property is typical of the area. The highest and best use should be for residential purposes. Tillable ground, limited farm animals and small farming is allowed. Non-commercial outbuildings are allowed. Working commercial farms are not allowed. Farm Loan Center provides the lending options available for veteran loan farm financing to support the growing need for financing in Rural America.

VA loan features:
1. No down payment - 100% Financing 
2. Competitive low interest rates
3. Seller is allowed to pay all closing costs
4. VA funding fee applies (Note: **Funding fee is waived with VA service related   
5. Loan amounts up to $1,094,625 in qualified counties across America
6. Credit scores of 620+ 
7. Higher limit on debt ratios

**Disabled veterans with a VA related disability of 10% or more are waived of the funding fee charged to non-disabled veterans. Surviving spouses of veterans who died in-service or from a service-connected disability also qualify for the exemption.  

USDA Home Loan
100% Financing
No cash back 
Closing costs can come from any source 

USDA loans are available in areas where the population is below 20,000.  Towns close to large metropolitan areas do not qualify.  Maximum income varies by geographic area and is based on 115% of the HUD median income.  Contact us to find out if you qualify!

For more information on hobby farm loans, a rural property loan or any other of our financing solutions, please do not hesitate to contact us.

Prompt, professional service
Great low interest rates!
Secure a rural property loan for a home out in the country
Signing the paperwork on easy hobby farm loans
A potato farmer harvesting his crop
email me
HomeAbout USTypes of LoansTestimonialsApply Online

Copyright 2009 Farm Loan Center:  All Rights Reserved.  NMLS#459157