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Land purchase? Suggestions on banks?

Hawk32

Hawk32

PMA Member
I am looking for suggestions on what banks people have had good luck with when it comes to purchasing rec. ground with little income in return. % down, interest rates, etc, etc. I have gone though farm credit but looking for others for comparison.
 
Stick with farm credit and lock in long term rate. Rates are going up, you dont want anything to do with balloons.
 
In general small community banks will offer longer terms to attract your business. On occasion they will also take less down payment. Stay fixed rat, arms will kill you down the road.
 
Luana Savings Bank out of Polk City has been very easy to work with. I have used them for all 3 farms I have bought. The longest u can lock in is a 10 yr fixed tho. I was looking at buying another farm a couple of weeks ago and the interest rate was 4 1/4. 25% is what they want down. Lowe interest than farm credit, easier approval, but riskier on the interest. And interest really has no where to go but up. So if u can get approved and have the 30% to put down, FCS is the safest way to go
 
Farm Credit told us and I quote: "You would be a blemish on our portfolio".

This was at the Cedar Rapids office. Land had income from CRP. We had the down payment.

Hills bank welcomed us.

Guess I hold a grudge. ;)
 
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