I'm looking at buying a dryland cotton farm in west texas as an investment property. For the numbers to work, I need 30 year financing at 4.5%. Is anybody offering this? If not, what is the going rates right now?

Thanks.

Pretty sure that's based on your credit worthiness, downpayment and probably other factors.

Check Texas Farm Credit! They show a loan calculator @ 4.25% on a 15 year amortization. But rates are always base on credit, term, and down payment

https://www.texasfcs.com/

Also Capital Farm Credit...

https://www.capitalfarmcredit.com/

Rates right now, depending on the term length are around 4.5% and can fluctuate about a point northwards

Might be different since it's a farm but I know capital farm credit usually won't do over a 20 year note

I think terms you are lookinv for would be tough to achieve unless you are putting a sizeable percentage as a down payment. Especially for land / rural property.

I know the last financing I arranged for land was around 5.2%, and that was for 20yrs putting 25% down with FICO scores of 838 and 841. This was just last year.

I talked to a lender about two weeks ago and with an 800+ fico and 20% down rates were about 5.25% for 20 years...in line with the post above. You just don't know till you talk to a few lenders

I got 5% w 20percent down. Thru capital Farm credit, but that was 2 yrs ago

I also did a 15 yr though

Remember that capital farm pays a dividend (patronage) to their borrowers that equals about a point.

I bought a place in March. I put 20% down and got 4.25% fixed for 7 years on a 15 year amortization. I have a strong relationship with my lender which helped me get a lower rate. I used a regional commercial bank.

Txtrophy85 - good point. The lender dis say the dividend was worth about a point reduction

Echo on the Patronage programs. It is based on profitability of the lender, but some may pay you the equivalent of a month or more mortgage payment, so if you are paying for instance $1,000 per month, the patronage payment in this case would be $1,500 or so. And again, varies by lender and by year.

I think most pay it like a dividend check, and in my opinion, worth just rolling it back toward capital, or maybe using it for some improvement. Either way, it does in affect discount a marginally higher interest rate.

If you happen to be in central Texas, I can not say enough good about Marcus Amthor at Central Texas Farm Credit. He was incredibly helpful!

Yea. But they make you pay like and extra $1000 into it and then if you pay it off you have to wait a few years to get it back is how it was explained to me. Their closing costs were very high, if I wanted to buy their stock I would go buy it. I have a loan through them and Peoples state bank in Rocksprings and I had a much better exp. Through peoples bank.

I used Texas veterans land board. You won't get the interest rate you want but you can get 30 years and 5% down

I closed on a land sale today at the Capital Farm Credit office in nearby Katy which saved me and the buyer from driving 260 miles round trip to Centerville where the title office is located.

While I was there I asked how the stock thing works. Part of the buyer's loan is $1,000 worth of private stock in Capital Farm Credit which he can't cash in until the loan is paid off, nor can he keep it after the loan is paid off. In addition to getting refund checks each year from the company's profits, the stock goes up as well giving the buyer a handsome profit at the end. It's a hell of a deal.

Take the time to check out the competitiveness of Land Loan Specialists! www.landloanspecialists.com Whether it's a dry land cotton farm in West Texas, the Hill Country, or a property with lots of water in NE Texas contact us and give us a shot at it. If nothing else we can trade hunting pics! Rates change everyday but today a 30 year FIXED rate is under 5. You're looking at 25% down and it's either good enough for us to do or we won't do it. Meaning we won't mess with your rate based on waiting to get your financials reviewed by the bean counter (by the way that's me!).
Sorry for the long post just tired of people talking about how it's harder than a home loan. Have you gotten a home loan lately? I don't need a DNA sample.
(806) 698-6884 Look forward to talking to you!

^^^ What he said. I bought a house in 2004 and land in 2009 (through Capital Farm Credit, if it matters) and the land purchase was 10x easier than the house deal, despite occurring after the mortgage crisis. Did a 5-year fixed rate over a 20-year term. First 5-year rate was 5.35 and the second term, which started last year, is 4.5%. It'll hopefully be paid off within the next year, Lord willing.

I just did a 20-yr with 20% down and locked in around 5.2% with Capital Farm Credit. With the patronage dividend, that should be about 4.3%, which is really good for raw land. 30-year was an option, but it was about .6% higher, and it didn't really matter to me.