Farm Ownership Loans will help you purchase or enlarge a farm or ranch, construct a new or improve an existing farm or ranch building, pay closing costs, and pay for soil and water conservation and protection.
FSA provides guaranteed and direct loans. Under a guaranteed loan, a commercial lender makes and services the loan, and FSA guarantees it against loss up to a maximum of 95 percent of loan value. For those not yet meeting the qualifications for a loan guarantee from a commercial lender, FSA also makes direct loans, which are serviced by an FSA Official. FSA has the responsibility of providing credit counseling and supervision to its direct borrowers by making a thorough assessment of the farming operation.
To qualify for assistance, applicants must meet all loan eligibility requirements including:
Other eligibility criteria apply and can be found on the Farm Service Agency website, on the FSA Farm Loans Guide or by contacting FSA directly.
To apply for a direct operating loan, applicants must submit an application form (FSA-2001, "Request for Direct Loan Assistance") and all other required documentation to their local USDA Service Center or FSA County Office. Please follow guidance on "How to Complete an FSA Loan Application" found on the FSA Fact Sheet.
Forms can be located on FSA's Farm Loan Programs Direct Loan Application Forms and Instructions page.
To apply for a guaranteed loan, visit your lender who will arrange for the guarantee.