Can I Get a Mortgage on a Farm?

If you’re thinking about buying a farm in North Florida, you may not have all the cash to buy it outright – but can you get a mortgage to purchase farmland?

Here’s what you need to know.

Usually, you can borrow money to buy a farm. The loan on a farm is likely different than what you’d expect from a traditional mortgage, though.

You can use the Farm Service Agency – a branch of the U.S. Department of Agriculture – to get at least some of the financing you need to purchase a farm. That may include:

An operating loan you can use to buy livestock, seed and equipment
A farm ownership loan you can use to buy (or expand) a farm or ranch
A microloan, which is a type of operating or farm ownership loan that’s available to small and beginning farmers
Targeted loan funding you can use if you’re part of a minority group (these loans are available to minority and women farmers and ranchers)

How to Get a Loan on a Farm

Before you start searching for the perfect farm to buy in North Florida (or anywhere else, for that matter), it’s a good idea to start talking to lenders. You’ll be able to find out how much you qualify to borrow, and you’ll be able to learn more about the borrowing process.

Are You Buying a Home or Land for Sale in Lake City?

If you’re moving to Lake City, we can help you find the perfect place to live. Call us at 386-243-0124 to tell us what you want from your home and we will begin searching right away.

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