Farm loan interest has gone up substantial in the last few month’s, purchasing land has become a lot more expensive if you need to finance your land purchase.
Buying land stays very affordable with the current crop prices however alternative financing options become more attractive.
Considering farm transition loans, vendor financing, lease to own, custom farming,
equity financing or active partnership with vendor to transit to an complete sale over time.
Other options would be fractional equity investors that can facility additional equity farm expansion, web platforms : farmtogether.com or farmfundr.com are great examples how alternative money can be used for expansion
Ensuring stable debt & cash flow is critical for any farm operation at any time, higher interest rates maybe short lived, with recessions forecast in the near future. The economy might slow down substantial and interest rates dropping to lower levels to stimulate the economy.
Farming is unpredictable together with the weather, markets, yields, labor and government it is important to plan for success.
