Leave A Lasting Legacy With Land Contract Guarantee Program
Sellers can choose one of two guarantee options:
- A “prompt payment” guarantee covering three amortized annual installments; or
- A standard asset guarantee covering an amount equal to 90 percent of the outstanding principle of the loan.
For either option, the loan guarantee stays in effect for ten years. The purchase price of the farm or ranch subject to the contract sale cannot be greater than $500,000 and the buyer must make at least a five percent down-payment.
If interested, contact your local Farm Service Agency office or call the Center for Rural Affairs Farm Bill Helpline at (402) 687-2100, where beginning farmers and ranchers can get guidance on other farm and conservation program options.