Need a Hard Money Farm Loan?
When real estate investors want to invest in agricultural properties, they sometimes face setbacks when seeking conventional financing from lending companies. Whether you need a loan to purchase land, a farm, or day-to-day farming operations, getting funding for your business is not always easy.
Commercial Lending Takes Too Long
Investing in farmland takes a concerted effort. Often, real estate investors are in direct competition with other business investors. If you do not have the funds or collateral right away, you could lose out on a property.
Thankfully, there are hard money farm loans and agriculture financing options. These short-term loans take days instead of weeks to fund.
Comparing Hard Money Loans to Traditional Loan Options
Farming is a difficult business. Whether you are new or have years of experience, seeking a hard money loan is sometimes necessary.
For instance, a farmer needs lending to purchase grain equipment for harvesting wheat. He seeks private money lenders for agriculture to purchase the business equipment at the beginning of summer. Once he grows and sells his crops, he pays back the hard money loan in the fall.
Farmers may also fall behind on their mortgage payments and face foreclosure, and they may need private money to catch up on payments.
Unlike long-term loans, short-term financing options allow farmers time to get their finances in order, save their property, and pay off the new mortgage loan.
EXAMPLE LOAN SCENARIOS
How Can You Qualify for an Agriculture Loan or Hard Money Loan?
When it comes to agriculture hard money loans, the application and approval process is straightforward, with no lengthy and cumbersome requirements like one might face with commercial lending companies. The average time from approval to finance funding is less than two weeks.
- Like most land loans, the lender focuses on the property’s value more than the borrower’s creditworthiness.
- The lender will want to know you have a business plan in place to pay off the farm loan’s amount and seek long-term financing if necessary.
- Most lenders also want to know borrowers have their own cash to put into the project.
Types of Agricultural Loans
Borrowers have options for seeking money from private lenders for real estate loans. These lending options are ideal for purchasing land or a relevant asset, refinancing, business equipment and vehicle purchases, and expansion.
MORE EXAMPLE LOAN SCENARIOS
Apply Now for Fast Pre-Approval
Our lending partners understand real estate investors sometimes need alternative financing options for their property. When you need fast funds for business or real estate and cannot get approval for a conventional loan, we are here to help.
Apply today to get fast pre-approval on financing for your business. We will answer any questions you have and give you the information you need.
We will be here for you every step of the way and are committed to helping you succeed. Get started right away.