Program Description Prequalify for a Mortgage Pre Application   Eligible Properties Parcels of land with production of agricultural commodities or products. Properties may be improved by buildings, fixtures and equipment or other structures permanently attached to the real estate. No minimum or maximum acreage is required. If the property is less than five acres, there must be $5,000 minimum annual gross sales of agricultural products from the property. Mortgage Amounts Maximum loan amount is $7.9 million for loans secured by more than 1,000 acres; $22.5 million for loans secured by 1,000 acres or less; $22.5 million maximum indebtedness for any one borrower or related borrowers, through one or more loans. Eligible Borrowers Eligible borrowers include U.S. citizens or nationals or aliens lawfully admitted for permanent U.S. residence; private corporations or partnerships where members, stockholders or partners holding a majority interest in the entity are U.S. citizens or nationals or aliens lawfully admitted for permanent U.S. residence. Loan-to-Value Ratio (LTV) Maximum Loan-to-Value Ratios (LTV) are: 70% for land loans up to and including $3.0 million; 60% for land loans greater than $3.0 million; 65% for facility loans; 75% for poultry facility loans supported by a contract with an integrator; 80% for swine facility loans supported by a contract with an integrator. Credit Profile Credit analysis must evidence the applicant's ability to repay the requested loan in accordance with the loan terms. Farmer Mac recognizes the five credit factors for credit analysis: character, capital, capacity, collateral and condition. Product Descriptions Farmer Mac offers a variety of farm loan rate products: ARMs: 1-Month, 6-Month, 1-Year, 3-Year, 5-Year, 7/1 and 10/1. Adjustable rate mortgages offer a fixed interest rate for the initial period with the rate resetting for additional terms based on the applicable index. For example, the 5-year ARM product begins with the rate being fixed for the initial 5 years after which it rolls over to another 5-year fixed rate period based on the new rate environment. The 7/1 and 10/1 products have rates which are fixed for 7 and 10 years, respectively, after which they roll over to a 1-year adjustable rate for the remaining term of the loan. All ARM rate products are prepayable without penalty (with payment of interest to the next payment date if the loan is prepaid between payment dates). Variable Rate Mortgage : 5-year. The 5-year variable rate mortgage has a fixed interest rate for the initial 5-year period. The interest rate adjusts for two additional 5-year periods. Any prepayment is subject to yield maintenance except prepayment occurs at the rate reset date when it is allowed without penalty. Fixed Rate Mortgages : Options are 10-year, 15-year and 20-year. Borrowers may choose options with no prepayment penalty, partial-open prepayment penalty (penalty during the loan's initial years only) and those with full yield maintenance (prepayment penalty during the loan's entire term).