Agricultural Land Purchases
Whether you're buying or transferring ownership of agricultural land, Rangewell provide the funding, flexibility and expertise you need
- Commercial mortgages from 2% above base rate
- Agricultural mortgages
- Bridging loans
- Auction finance
Designed around your needs
- Can be part of 'jigsaw' funding designed around your needs
- Monthly, quarterly and annual repayments
- Tailored around your cashflow
- An adverse credit history need not be a problem
- Repayment and interest only available
- All types of land
- Buildings as well as land
- Refinance existing property assets
Talk to Rangewell – the business finance expertsfarmers have been borrowing to buy land for generations, but the old lenders, like banks may no longer be able to help. At Rangewell we know the lenders who are, and our of team business finance experts have the contacts and sector knowledge to help find the funding that is right for you
Agricultural Land looks set to increase in value as the pressure for home food production increases. Buying land may be an investment - it could certainly help you build your farming business
The agricultural sector plays a key aspect in the UK economy. The potential of the sector may grow as Britain seeks to re-establish home food production outside the EU.
Because farming has come under intense financial pressure many farmers have looked at expansion to drive efficiency, and diversification as ways to maintain profitability.
As an agricultural business owner, whether farmer or contractor, your profitability depends on many factors – but chief among them is the need to acquire land to work.
If you are ready to buy land, you may find that your options are limited. Your current banker may be a great source for funding for conventional business expenses. But to get the best deal on the funding you need, you must be able to call on a lender that understands rural property, cashflows within the industry, the cycles and current real estate values.
Funding can also be arranged to consolidate an existing loan or mortgage, or buy out a relative or partner about to retire, in order to attain a more favourable financing structure.
Because of the specialised nature of the farming business, many lenders will be unable to help. At Rangewell, we can help you find those that are.
Your funding options
We can provide a number of solutions for the purchase of agricultural land. These include:
- Agricultural mortgages
- Commercial mortgages
- Commercial remortgages
- Tenant farmers loans
Agricultural mortgages - Finance for land and buildings
An Agricultural Mortgage is designed to help farmers buy farmland, farm buildings or improve your existing farm properties. They are a specialised loan product, with the loan secured by the land itself. They are used to finance the purchasing of a farm, a farm building or a farming enterprise of some kind. A farm mortgage can also fund improvements or extensions to existing farm properties or associated land.
You can usually borrow up to 80% of the value of farm buildings or land, Choose repayment terms between five and 30 years and interest rates that can be fixed or variable. Repayments can be arranged to fit your business cashflow, either monthly, quarterly or annually. If your business plans change, you can extend the term of your loan, subject to approval.
Loans can even pass from generation to generation – helping you build a farming business not just for yourself, but for your family in the years to come.
There will be valuation, arrangement and legal fees to consider. There can also be additional costs for the services of professional advisors – but you have a commercially sound proposition, we may be able to help you arrange the Agricultural Mortgage you need.
Contact us to find out more about Agricultural Mortgages.
Raising funds with a Commercial Mortgage
If you already own your farm premises, a Commercial Mortgage might be a cost-effective way to raise funds to buy additional land. By taking out a loan on property and land you already own, you can raise considerable funds. A farm mortgage can also be arranged to consolidate an existing loan or mortgage, or buy out a relative or partner about to retire, in order to attain a more favourable financing structure.
Get our help finding the most competitive lender.
Buying agricultural property with a Commercial Mortgage
A Commercial Mortgage is often used for buying business premises – but it is possible to set up a Commercial Mortgage for agricultural land with associated buildings. These operate much like a residential mortgage, with a large loan secured on the property itself.
Generally, Commercial Mortgages are for 15 years or more, and, as with a residential mortgage, the premises will be at risk if you are unable to keep up your repayments
Unlike a residential mortgage, the rates for a Commercial Mortgage are arranged on an individual basis. Lenders will look at your business, your accounts and projections to ensure that it has a future and set interest rates based on the level of risk they believe it presents.
Because of the legal and administrative costs, it is uneconomic to borrow less than £50,000 with a commercial mortgage, and some lenders have a minimum of £75,000 or more, but there is no set upper limit.
Find out more about Commercial Mortgages.
Alternative lending options
If you need more flexibility about how much you pay back and when, we can provide a wide range of running options, include loans form alternative lenders with a flexible approach to you your funding needs.
Tenant farmers loans
Buying your farm tenancy can be a sound business idea and one that some landlords are increasingly becoming receptive too.
It can be easier than you think, thanks to a growing difference between the value of tenanted and freehold land – which can save you money when you come to buy out your tenancy.
You can borrow up to 60% of the full value of freehold land, which your tenanted farm will become on completion of the sale. By taking into account other assets such as your equipment and your house, you may well be eligible for a mortgage.
We can help you set up a mortgage with fixed or variable rates of interest, and interest only or repayment options repaid monthly, quarterly or half yearly on dates which suit the cash flow of your business.
Loans can last for up to 30 years and can pass from generation to generation, so don’t need to be repaid if the borrower dies.
Contact us to find out more about lending to help tenant farmers buy their farms.
Agricultural lending with poor credit history
We work harder to find you the finance you need. So even if you have a poor credit history, no proof of income, or have defaults, CCJs or bankruptcy we can still help you find the answers you need that suits their needs and circumstances and will help them grow their farming business.
REAL EXAMPLES OF WHAT WE CAN DO
Find the most competitive funding to let an established farming operation double the size of its operation
Help a young farmer acquire his first land holding
Find the most competitive finance to buy out a neglected tenant farm
Help an established dairy farm to acquire extra pasture
Help a syndicate acquire additional land to set up a major arable operation
How we help you capitalise your farming business
At Rangewell we work across the entire lending industry, and we have finance experts have personal experience in the needs of the agricultural sector.
That means we can provide a unique service. We will help you to find the most appropriate funding from lenders across the market – from established high street banks to alternative funding suppliers. Our specialist teams, experienced staff and land agents can give you all the help you need to develop a proposal and choose the right loan.
Call us to arrange a confidential, no obligation, no cost discussion that could set you on the path to owning your own farm.
Helping you build your profits
Our service is...
ImpartialTransparent and independent, treating all lenders equally, finding the best deals.
In-depthEvery type of finance for every type of business from the entire market - over 300 lenders.
In-personSpecialist Finance Experts support you every step of the way.
FreeWe make no charge of any kind when we help you find the loan you need.