Whether you’re buying a farm, expanding your operation or making long-term improvements to your farm real estate, you’ll find a large product selection offering a mix of fixed-rate security and savings with the most competitive rates in the country.

We offer refinancing programs, too.  And unlike most lenders who require a lengthy and expensive refinancing process on mortgage loans, we allow you to move your loan from one product to another. So, if interest rates move lower, you can change your loan to another product and capture those savings. (learn more about conversions).

From fully fixed rates to fully adjustable rates, here is a line up of our farm real estate products:

Fixed Rates

The ultimate in interest rate security, Farm Credit offers a family of 10, 15, 20, 25 and 30 year fixed rate options.

• Your interest rate is locked in for the life of your loan, it never changes.
• Your payment schedule is predictable which helps you plan and control interest rate risk.
• If interest rates do fall, you’re not locked into a higher rate.  You can convert to another loan product when interest rates play in your favor.

Adjustable Rates

An adjustable rate is one that is fixed for a set period of time. At the re-pricing date, the rate is reset to the current rate.  The process continues until the maturity of the loan.   At Farm Credit, we offer 1, 3, 5, 7, 10 and 15 year adjustable rates:

• This product is often priced lower than most fixed rate products, so this product is for customers who want to lock in a rate for a selected period of time, but do not want to pay the higher rate required on a fully fixed rate loan.
• Your loan maturity date can be between 5 and 25 years.
• You can lock in your rate any time from application until closing.
• There are no early prepayment penalties.
• The conversion feature is available on adjustable mortgages, so you can convert to another loan product when interest rates play in your favor.

Variable Rates

The interest rate on a variable loan changes monthly based upon inflation. You can track it according to movements in the U.S. Prime Rate.

• This is often the lowest interest rate available in the nation.
• You set the term between 5 and 25 years.
• You can put a ‘cap’ on your rate which protects you from excessive rate increases and volatile markets.
• This product also offers the conversion feature so if rates move up, and you want to lock in a rate, you can move to a fixed rate product.

Convertible Rates

This product is similar to our adjustable rates, but when the loan reaches its re-pricing anniversary, it changes from a longer fixed pricing period to a 1-year fixed rate.  It also features rate caps to help protect from interest rate risk. 

• You can select 1, 3, 5, 10, 15 terms with a maturity set at 25 years.
• This is a great option to finance your farm residence because most home loans never live to their maturity.  This product offers the ultimate mix of flexibility and affordability.
• Interest rate caps means your rate will not go up more than 2% a year, or a lifetime cap of 6%.
• As the name suggests, you can convert this product to a lower rate when the opportunity arises.

LIBOR Indexed Rates

• LIBOR stands for London Interbank Offered Rate and is a global index that is commonly used to price loans around the world. Your rate is indexed to LIBOR with a pre-established margin.
• LIBOR be used for any loan from 5 to 25 years.
• There are no prepayment penalties if you wish to retire debt early.
• You can convert from this product to a fixed rate product.
• You will receive a low rate based upon a 30-day Libor index cost.

Prime Indexed Rates

• Your rate can change monthly (up or down) with movements in New York Prime.
• Prime Indexed products can be used for any loan from 5 to 25 years.
• There are no prepayment penalties if you wish to retire debt early.
• You can move to a fixed rate loan if the markets suggest interest rate volatility.
• Even more customized savings
• We offer additional savings opportunities with our Flex Rate and Exceptional Rate Pricing programs which can be applied to just about any real estate product.  If you’re willing to trade some flexibility with your loan, you can save even more money.   

To request a Farm Real Estate Brochure, please click here.