Agricultural Financing Program
Next Generation Farmer Loan (NGFLP)
Contact
 Email Lyle Hosler or call him at 717-397-4046 for additional information or with questions.
|
NGFL Program Summary
- Loan program for beginning or first-time farmer projects
- Lancaster County's contact for the NGFLP is EDC Finance Corporation
Eligibility
Beginning or first-time farmers who are purchasing farmland and meet the following criteria:
- No prior ownership interest in a substantial amount of farmland
- Must be the sole owner and user
- Must be at least 18 years of age
- Sole proprietor net worth of < $500,000
- Partnership net worth < $800,000
- Must meet bank's credit standards
Eligible Uses
- Farmland acquisition
- Related party farm purchases
- Barn and building construction
- Machinery & equipment purchases/upgrading
- Breeding livestock
Amounts
- Tax-exempt loan up to $450,000 provided by the applicant's bank for land and related asset purchases
- Tax-exempt loan proceeds for purchase of used equipment may not exceed $62,500
Terms/Conditions
- Tax-exempt bank interest rate
- Bank sets term and provides funding
- All fund uses must be associated with agricultural land being acquired
- Value of residence is ineligible
- Related party farm must be purchased at an agricultural use maket rate
Fees
- 0.50% commitment fee
- $2,000 bond council fee
- $500 application fee
Guidelines
Next Generation Farmer Loan Program (NGFLP) Guidelines
