Real Estate Backed Loan?

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April 01, 2026

by a searcher from Texas A&M University in Hartford, CT, USA

Hi all. This isn't an ETA post, but thought the SF community could be helpful. I'm seeking an alternative to bank financing. Ideally, something like a LOC that would be collateralized by farmland with a max LTV of <25%. The land is being prepped for sale, so the repayment period will end up being <18 months. The land is held in trust, and ideally the trust would be the sole guarantor. The land was recently appraised <$5M. I've had a few issues with traditional banks including not lending on farmland and/or needing additional guarantors. Any advice or connections would be much appreciated. Thanks in advance!
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Reply by a lender
from Eastern Illinois University in 900 E Diehl Rd, Naperville, IL 60563, USA
Lending on farmland is kind of a niche business and you need to find the right lender willing to do so. Even though your LTV is really low, most lenders focus on cash flow for real estate. If the property has cash flow sufficient to support the loan, then it might be possible to get something done. However, if there is no income and it is just land, then it will be a challenge. I would be happy to have a conversation. You can reach me here or directly at redacted
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Reply by a professional
from Liberty University in New Smyrna Beach, FL, USA
Echoing that farm land is a different niche than real estate. It's about hectares, rather than square feet. But the common point between the two is the availability of USDA financing which is often really advantageous! I have a couple of reliable non-bank USDA lending relationships, would potentially be able to act as a capital advisor. SaltandWisdom.com/Capital
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