AgAmerica Lending: 4 Ag Loan Types

With 100 years of combined ag lending experience, Bankers South is committed to helping farmers and ranchers create successful businesses. Whether you are looking to upgrade equipment, purchase livestock, or inject working capital into your operation, Bankers South’s AgAmerica lending program has the unbeatable ag loan rates and unparalleled service that you deserve.

Bankers South’s AgAmerica loans cover all facets of farming, from smaller blueberry farms to vast cattle ranches. When it’s time to plant your next row crop, expand your citrus groves, plant timber or start buying more cattle, these farm loans are a great option.

TYPES OF AGAMERICA LOANS

  • Farm Real Estate Loans (including Timberland loans)
    If you need to purchase land or refinance existing debt, we offer agricultural real estate loans with repayment plans designed to align with your individual needs. Various terms, payment plans, etc. are available!
  • Ag Operating Lines
    If you are operating a farm and need a production line of credit, look into our operating line for all types of livestock and crop operations.
  • Term Capital Improvement Loans
    Do you need to replace or revitalize your agriculture property or make improvements? We can work with you to reach your agriculture goals.
  • Equipment Loans
    Need help financing new or used equipment for your farm or ranch? Using the equity in your land, we’ve got you covered! We offer fixed rate or adjustable rate agriculture financing with flexible repayment plans designed to fit your income stream.

 

Interested? Questions? We want to hear from you! Contact us here


Ag Lending 101

What is agricultural lending?

Simply put, it’s the financing of agricultural business.

Purchasing agricultural land or running an agricultural business presents unique opportunities, challenges, and complexities. Financing agricultural land or an agricultural business requires a solid team of lenders that understand the ins and outs and the agricultural industry.

Seeking out a financial partner committed to agriculture is your best bet to ensure all of your business needs are met. Bankers South understands the agricultural industry and is committed to your success.

Here at Bankers South, we are proud to provide a variety of loan products, including conventional agricultural real estate loans through our AgAmerica Lending Program. In fact, we are the only lender in the Southeast authorized to offer AgAmerica Conventional Real Estate Loans. This program offers farmers low interests ag loans unmatched by most agricultural loan programs. It extends to all facets of farming, from smaller blueberry farms to vast cattle ranches. So, when it’s time to plant your next row crop, expand your citrus groves, plant timber or start buying more cattle, these farm loans are a great choice.

With Bankers South you can expect:

  • Commitment: We are committed to getting to know each of our customers. Our staff includes employees with farming history stretching back generations. Bankers South also has its own experience with buying, selling, and managing agriculture land.
  • Flexibility: We offer various ag loan options including our 10-year Line of Credit to more traditional, 25-year fully-amortized loans to best suit your agricultural project.
  • A Solid Relationship: It’s our commitment that we are not only offering an ag loan but a relationship that will hopefully tie Bankers South and your farming operation together for many years to come.

 

Contact Bankers South to learn more about our AgAmerican Lending Program and its potential to help support and grow your business.


Urban Farming 101

Urban farming can be divided into 3 categories – categories which may or may not overlap. Having an idea of the category your urban farm (or potential urban farm) falls into is helpful in terms of planning and financing your agricultural operation.

  • The Subsistence Farmer.

    This farmer runs his or her operation to make a living, subsisting and profiting on all that he or she grows. The subsistence farmer selects crops or livestock to accommodate his or her personal food requirements and/or selects items high in value, which can be sold to make a profit. Of the estimated 800 million urban farmers out there, most fall into this category.

  • The Recreational Farmer.

    The recreational farmer is in this business more out of hobby than to fulfill personal food needs. However, certain recreational farmers may surely subsist on what they grow. The varieties of crop are usually abundant. These farms are usually sustainable and intend to boost the local food scene and morale. Some recreational farms are for entertainment purposes, such as pumpkin patches, apple picking orchards, community gardens, etc.

  • The Entrepreneurial Farmer.

    This farmer is in the farming business to make a substantial profit. This farmer hand picks gourmet items – crops or livestock that are high in value – such as greens or other specialty produce, fresh flowers, or live aqua-cultured fish. While the costs of these agricultural operations can be high in an urban setting, there are also logistical benefits, including convenient, quick transportation of items, which decreases the risk of items perishing en route. Entrepreneurial farmers and subsistence farmers are very similar with their intentions. Both farmers desire to profit from their business; however, entrepreneurial farmers usually intend to profit on a much larger scale. These farmers tend to have more of a comprehensive business plan and larger farms. Out of all the urban farmers out there, this subset is probably the smallest in size, but it holds the highest potential in terms of expansion, impact, and innovation.

Interested in heading an urban farming project? Bankers South offers hobby farm loans for such projects. If your operation is more extensive and you’re more of the entrepreneurial farmer type, you will definitely benefit from a discussion regarding our agricultural loans. Through our AgAmerica Lending program we offer AgAmerica Conventional Real Estate Loans. Interest rates for these ag loans often beat all other agriculture loan programs. Ag loan types range from 10-Year Revolving Line of Credit to more traditional, 25-year fully amortized loans to best suit your agricultural project. 


BANKERS SOUTH FUNDS QUICK TURNAROUND LOAN

Here at Bankers South Lending & Finance, we provide a variety of loan products, including quick, turnaround loans. Recently, we funded a quick, turnaround bridge loan of $115,000 to finance a beach condo through our Transitional Lending Program.

What is the Transitional Lending Program?

Our Transitional Lending Program provides funding from $100,000 to $100 million and allows borrowers the ability to receive the fast and flexible funding they need when opportunities or situations arise. The low documentation process is often less time consuming than a standard bank loan. For example, this recent loan, traditionally taking up to six weeks to finance, took us less than two weeks to fund – an impressive, unmatched turnaround.

We offer the Transitional Lending Program for non-conventional, fixed or floating-rate bridge loans – often called “hard money” loans – on the following asset classes:

  • Vacant Land, including Ag and Timberland Loans
  • Investment Real Estate Loans
  • Commercial Real Estate Intermediate Loans
  • Other Consumer Loans secured by approved collateral
  • Refinance/Debt Consolidation

 

As a team with over 80 years of combined lending experience, we have strong loan underwriting and property appraisal experience to ensure that financing is completed in a swift, steadfast fashion. Depending on the type of loan, funding can take as little as one to three weeks to complete. Rest assured, we offer real financing solutions when time is of the essence!

Bankers South Lending & Finance, LLC (“Bankers South”), a Land South Group Company, is a money lender and mortgage investor based in Central Florida. As a licensed Florida Mortgage Lender and licensed Florida Consumer Finance Company, Bankers South accepts, underwrites, funds, and services the loans it makes. Bankers South provides a variety of loan products, including conventional agricultural real estate loans and non-conventional, fixed or floating-rate bridge loans through its AgAmerica Lending Program and Transitional Lending Program. Visit our website for more information: www.bankerssouth.com.


Florida Lending Continues to Climb

Though Florida interest rates are climbing, lending institutions are not taking a hit. Borrowers are still flowing in, willing and ready.

Here’s the numerical proof: According to recent 2013 data, lending in Florida has increased by $5.8 billion, or 6.5 percent, outdoing the 2.9 percent U.S. gain. That’s a pretty substantial gain.

Florida is clearly enjoying a unique phenomenon. In fact, the state’s banking industry is surpassing the entire nation, outranking all states.

Though mortgage rates are on the rise in Florida, housing demand has not dwindled according to certain indicators, including average sales and inventory trends. Yet, home buying is not the exclusive factor accounting for Florida’s uphill lending trend.

What, then, is fueling Florida’s lending increase?

As mentioned, home buying plays a role, but a very minor one. Not many home buyers are seeking loan assistance. Data suggests that home buying is probably increasing due to a higher percentage of cash purchases due to the higher-priced markets. So, home buying is not a strong game changer in the Florida lending industry. Commercial and industrial lending, credit cards and auto loans, are the proposed game changers strongly accounting for this uphill lending trend. Real estate loan growth, however, has been consistently low.

It’s hard to say how this high-priced market environment will impact banks. On one hand, it will make borrowing more expensive for banks. Yet, banks have the power to counteract this by increasing their loan rates. Striking a balance is necessary, though difficult.

Moral of the story: Florida financial lending intuitions are doing well, amidst an environment that generally limits borrowing. How this will play out long-term is difficult to predict. Yet, so far, so good for lenders and borrowers.

Based in Central Florida, Bankers South Lending & Finance, LLC (“Bankers South”), a Land South Group Company, is a money lender and mortgage investor. Bankers South provides a variety of loan products, including conventional agricultural loans, timberland loans, and commercial farm loans, and non-conventional, fixed or floating-rate bridge loans on asset classes such as Agriculture and Timberland, Residential Development Land, and Transitional Commercial Assets. Contact us for our ag lending services, information on Florida asset-based loans, and more!  


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