Loans for your rural way of life
Whether you are buying, building or refinancing, no other lender understands the rural way of life like Farm Credit. Why? Our experienced lenders live and work here, and they love the rural lifestyle too.
Farm Credit offers home lending options just for you:
- Lots, single-family homes or large tracts of land
- Build now or later
- Competitive interest rates and loan terms
- One time close, home construction loans
- Up to 95% Financing
Let Farm Credit help you put down roots and make your home ownership dream a reality.
- How much house can I afford?
This will depend on your employment history, credit history, current savings and debts and the down payment you want to make.
You can take a look at some quick calculations by using our affordability calculator.
Give Farm Credit of Northwest Florida a call and we can help you determine exactly how much you can afford and work to help you find the loan that’s right for you.
- How much cash will I need to purchase a home?
The cash needed to purchase a home depends on a number of items. Generally, you will need:
- Earnest Deposit: this includes a deposit made to the seller representing a buyer’s good faith to buy a home. This is typically held in an escrow account until closing and applied to the buyer’s down payment and closing costs.
- Down Payment: Depending on the loan amount and mortgage terms, the down payment will be a percentage of the cost of the home due at closing. Farm Credit is a full service residential mortgage lender that offers a wide variety of loan products including USDA/Rural Housing Home Loans and VA Loans with no money down and Conventional Loans with as little as 3% down for first-time homebuyers.
- Closing Costs: These costs include items like the appraisal, survey fee, title insurance fees, pre-paid interest and documentation fees.
- What is the difference in a fixed-rate loan and an adjustable-rate loan?
With a fixed-rate mortgage, the interest rate stays the same for the life of the loan. With an adjustable-rate mortgage (ARM), the interest changes periodically, in relation to an index. See how these can impact your overall payments with our fixed rate mortgage payment calculator and our adjustable rate mortgage payment calculator.
While the monthly payments you make with a fixed-rate mortgage are stable, with an adjustable-rate mortgage your payments may vary based on the interest rate. With a Farm Credit home loan, you can lock in your interest rate for up to 30 years.
- What is the difference between getting pre-qualified and pre-approved?
When you get pre-qualified, you’ve presented your financial situation including your income, debts, employment history and available funds. Once you’re pre-qualified, you will receive a Pre-Qualification Letter, which states your lender is confident, based on the information provided, you’ll qualify for a loan at a stated amount.
To be pre-approved means your lender has done a thorough review and verification of your income, assets, employment and credit to determine you’re qualified for the loan. You’ll receive a pre-approval letter for an exact loan amount.
Both pre-qualification and pre-approval letters are good for a specific amount of time and dependent on no material or significant changes to your employment or financial situation prior to closing.
- What is PMI?
PMI is private mortgage insurance. This insurance is required on mortgage programs requiring no or little (generally, less than 20%) down payment. The premium is typically included in your monthly mortgage payment. Once you have paid down your loan balance to 80% or less or the home’s original appraised value you can request the PMI be canceled.