FSA Farm Loans UPDATED for sound
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- Опубліковано 15 лип 2024
- We've boosted the sound on this popular video, as viewers requested.
Special thanks to Downtown Dailies/blue studio in Madison for the boost!
This is Module 2 in our Working with the FSA series.
Thank you for the thorough video this is great stuff 👍🏽
Thank you very informative!
Great video!! Im gonna be starting a farm in NY.
very good
My question is: we currently live in California but are looking to purchase property with this loan that is out of state. Would we need to contact a loan officer in California or in the state that we plan to purchase property?
That's a good question. Start by contacting your local FSA office. Then contact the state office in the state where you plan to purchase a farm to ensure the information is consistent. Here's a link to find state offices across the country: www.fsa.usda.gov/state-offices/index
If you own the property and manage it, but want to rent it for agriculture farming. Is FSA allowed?
If you have a question about what type of FSA loan you can get in your situation, please call our Organic Answer Line (888-90-MOSES) to explain your situation more fully. Our specialists are available between 9 a.m. and 4 p.m. CT.
Does growing trees count as a farm to FSA? Thanks
Hey @bg, it depends-- I think that basic eligibility for FSA is that you do not qualify for a loan from a traditional lender, you've filed schedule F taxes (profits and losses due to agriculture) for 3 years. They'll ask for a business plan to ensure that you have a reasonable plan to pay the loan back. Do you fit into that?
Here's some info directly from the FSA website: "FSA makes direct and guaranteed farm ownership (FO) and operating loans (OL) to family-size farmers and ranchers who cannot obtain commercial credit from a bank, Farm Credit System institution, or other lender. FSA loans can be used to purchase land, livestock, equipment, feed, seed, and supplies. Our loans can also be used to construct buildings or make farm improvements. See our loan information chart which describes maximum loan amounts, rates, term, and use of proceeds.
FSA loans are often provided to beginning farmers who cannot qualify for conventional loans because they have insufficient financial resources. FSA also helps established farmers who have suffered financial setbacks from natural disasters, or whose resources are too limited to maintain profitable farming operations."
@@marbleseedorg Actually I'm looking at property with small trees on it already
@@6mallards I would bet that it depends a lot on how you fit into their eligibility requirements-- especially with you background in agriculture as well as what kind of business you might have with the trees. Your best bet is to contact the FSA office nearest you and ask directly offices.sc.egov.usda.gov/locator/app?state=us&agency=fsa
@@marbleseedorg Thank you, do disabled vets get any kind of preference with these types of loans?
Are farm ownership loans garanteed by tax dollars in any way.
Do farm loanees have to pay loan insurance at fsa?
Funding for FSA loans comes from congressional appropriations as part of the USDA budget (tax dollars at work).
Insurance is required on all property that serves as FSA loan collateral. Collateral must be insured against damage or loss. The amount of coverage required is specified in loan documents. There is no mention of insurance on the loan itself.
The FSA has published a new guide that can answer your questions: www.fsa.usda.gov/Assets/USDA-FSA-Public/usdafiles/Farm-Loan-Programs/pdfs/loan-servicing/fsa_farm_%20loan_compass.pdf
@@marbleseedorg property insurance,yes.
Do does it require loan insurance?
@@cb7538 The information we have doesn't specify that. Did you see the publication link I added? If that doesn't answer your question, please contact the FSA office in your area.
@@marbleseedorg Thank you for all your help.
Have a great day.
Are you a loan officer? I'm looking to purchase a poultry farm and needs help. I've read there's a program for minority and am interested in it.
We're not FSA loan officers. You're best bet is to contact your local Farm Service Agency office. Here's a handy map to locate your local office: offices.sc.egov.usda.gov/locator/app?state=us&agency=fsa
Is it true the FSA is about to pay off loans for contract poultry farmers who are not earning enough growing chickens for the huge poultry companies? $3.1 billion in funding for USDA to provide relief for distressed Farm Loan Program borrowers with at-risk agricultural operations. $2.2 billion in financial assistance for farmers who have experienced discrimination in USDA farm lending programs, by amending Section 1006 of ARPA.
If i got a $0 down loan to buy a farm, bought a new tractor and vehicles and am now having financial difficultiy, will FSA pay off my loans? On August 16, 2022, President Joseph Biden signed into law the Inflation Reduction Act of 2022 (IRA).
The Gov was going to help only minorities with this program but recv'd to much back lash from Majority farmers so they decided to help ALL farmers who fell behind on their payments as of Dec 2022 I believe. Very hard to get the straight story from anyone ...
I'm a white male those loans are for me, I've been turned away & discriminated for the last 15years
😂😂😂
Yes you are considered a Majority. Best bet is to try using your wife as the minority or, if you have filed a Schedule F, Profit or loss from farming operation, in 3 of the past 10 years, or 2 yrs if a Vet, or if you have a degree in AG or related, you might get up to $600,000 Direct Down Payment assistance loan at a lower rate through FSA, about 4.5% interest rate right now, and your lender will loan the balance needed. (Most lenders will still want the buyer to come up with around 5% of the purchase price, down payment. Many lenders will not require the FSA Guarantee on the bank's money if the buyer comes in with more than 20% of the purchase price for the down payment). Lenders like this because the Gov, USDA allows the Bank to hold the 1st mortgage position so the taxpayer will take the loss if the loan were to go belly up. I have been selling poultry and cattle farms in AR and OK for 42 yrs. Be prepared to wait 6 - 10 months for your FSA Guaranteed loan to close since "FSA is very short handed and over worked". Just the process of FSA doing a farm appraisal will take 6 weeks. The "FSA down payment assistance loan" is to help the buyer, while the "FSA Guarantee" that guarantees 90% of the lender's money, protects the lender's money, but the buyer will be required to pay the fee, added into the loan. Some lenders will require the buyer to provide a life insurance policy naming the bank as the beneficiary and may also include a 5 year Pre-payment penalty.
Is fsa where a farmer buys something he can't afford and the tax payers with real jobs bale's him out or was that the drought relief program or maybe I'm thinking of the wild horse welfare programs
Most often it is for people like me who put our lives on hold to serve in the military for close to a decade while providing for a family of four on an income that is less than the current minimum wage- who earned their honorable discharge, then went to college for six years to study crop science at the graduate level, but were unable to save up the 50k in down payments necessary to start a family farm that can realistically only profit in the tens of thousands annually.
Of course, everyone could go work for minimum wage for some industrial scale bastard who relies on subsidized crops and government backed insurance programs to line their own pockets- but that's somehow less appealing to me.
Though something tells me you missed the part about having years of relevant (taxed) experience to even apply for these programs... But, as they say, ignorance is bliss, so have a wonderful day.
All of the above