The Farm Service Agency has launched a pilot program in six states to determine if land contracts are a viable alternative to facilitate land transfers to beginning farmers and ranchers.


Through the program, FSA will provide sellers with a 10-year guarantee if their farm property is sold to a qualified buyer. Additionally, FSA guarantees a monetary amount for up to two years of payments, real-estate taxes and hazard insurance. Meanwhile, buyers receive a competitive interest rate and access to borrowed capital that they might not otherwise be able to obtain. 


The pilot program is available in Indiana, Iowa, North Dakota, Oregon, Pennsylvania and Wisconsin.

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