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What are My Financing Options If I Move to the Country?

If you’ve made the decision to move to the country you’ve probably daydreamed about what you’ll enjoy most about living in a rural setting. Maybe you’ll sip coffee every morning from the porch of your new home. Maybe you’ll find land that has a lake for fishing. Or maybe you’ll just enjoy the quietness each day brings. It’s an exciting time for you and your family and it’s a fun journey.
Getting the financing you need shouldn’t get in the way of your dream, whatever that may be.
What kind of financing will you need?
This depends on what your dream home project involves. It’s important to match the type of project to the correct loan category as the first step in choosing the right lender. Different dreams — from owning a large lot or adding a barn, to full construction of a new home — call for different types of financing. Here are some questions to ask when looking for the right fit in a finance company:
  • Does the company have experience in rural loans and real estate?
  • Do they understand the nuances of rural living and the types of loans that will be needed?
  • Is their loan process simple or unnecessarily complicated?
How much will your home cost?
Before that first nail is pounded, talk to contractors experienced in building rural homes to get estimates based on similar homes they’ve built. You can also take the price of a newly-constructed home of a similar size and style to what you want, subtract the cost of the land, and divide the price by the square footage. This will give you a cost per square foot you can use to estimate how much your home will cost given the desired size. Remember: A typical construction deal can require a good deal of money out of pocket, and final construction costs could run as high as 10 percent over your initial budget. You should know where that money will come from before you build.
Go with the experts
As a leader in rural lending, Rural 1st, the  rural consumer lending division of Farm Credit Mid-America, offers a full range of specialized loan solutions for every phase of your project. Our lending options are tailored specifically for rural land, home purchases and construction projects, from lot loans to home equity loans. Whether you’re buying land and constructing your home, adding outbuildings or want to make improvements over time, we can help finance your rural project.
Simplify your life, now
There’s no need to wait to move to the country to simplify your lifestyle. Our loan process is simple and easy to understand. We’re experts in rural lending, we know rural living because we live here, and our team is skilled and  backed by systems to help make your move to the country seamless and easy, no matter what type of financing you need.
Ready to make the move? We’re ready to help.