Farm Loans in North Dakota

• Small-grains leader, large farms. North Dakota leads or nearly leads the nation in spring wheat, canola, and other small grains, and has a large average farm size (USDA Census of Agriculture, 2022).
• Farm real estate ~$2,360/acre. Farm real estate (land and buildings) averaged approximately $2,360 per acre in 2025 (USDA NASS, Land Values 2025 Summary).
• Cropland ~$4,220/acre, up ~5.1%. Cropland averaged roughly $4,220 per acre in 2025, an increase of about 5.1% year over year (USDA NASS, 2025).
• Pasture jumped ~8.6%. Pastureland values climbed approximately 8.6% in 2025, one of the stronger regional gains (USDA NASS, 2025).

North Dakota's per-acre values sit below the national cropland average of about $5,830 per acre (USDA NASS, 2025), though the large parcels common here mean total purchase prices can still be substantial. Check current figures for your county via USDA NASS.

Across banks, Farm Credit, and FSA, North Dakota lenders generally review a consistent set of factors:

• Credit — your repayment history.
• Cash flow and debt coverage — whether the operation's income can service the debt, often gauged with a debt service coverage ratio; see what is DSCR.
• Down payment and loan-to-value — the equity you contribute versus the collateral's value.
• Collateral — land, machinery, and sometimes stored crop or livestock.
• Experience — your background operating comparable acreage.

The specifics of qualifying are laid out in how to qualify for a farm loan and farm loan requirements.

Working the math before you meet a lender pays off:

• Estimate a payment with the farm loan payment calculator.
• See how many acres your budget supports using the land affordability calculator.
• Gauge your equity with the down payment and LTV calculator.

• Farmland and real estate loans — finance land purchases or refinances, secured by the ground with long amortization; see farm land and real estate loans explained.
• Operating loans — cover seed, fertilizer, fuel, and other input costs through the crop year, detailed in farm operating loans explained.
• Equipment financing — spreads the cost of air seeders, combines, grain handling, and machinery across their useful life; see farm equipment financing explained.
• USDA FSA loans — direct and guaranteed programs for producers who may not yet qualify conventionally; see USDA FSA farm loans explained.
• Farm Credit System — cooperative ag lenders serving North Dakota alongside local and regional banks.

For a side-by-side of these options, read types of farm loans.

The USDA Farm Service Agency provides direct loans it originates and guaranteed loans made by commercial lenders under an FSA guarantee. FSA sets aside a portion of Farm Ownership and Operating loan funds for beginning farmers, and its Down Payment Loan program assists eligible beginning and underserved buyers with a smaller down payment — relevant in a state where large parcels can raise the capital needed to start.

FSA publishes and updates its direct-loan interest rates monthly; consult the USDA FSA Farm Loan Programs site for current figures rather than any rate quoted elsewhere. North Dakota producers apply through their local FSA county office, listed in the FSA state office directory.

What credit score do I need for a farm loan in North Dakota?
There's no statewide threshold. Commercial lenders lean toward stronger credit, while USDA FSA programs are built to serve producers who can't yet qualify for conventional credit. Repayment ability and collateral carry significant weight.

How much down payment is typical?
It depends on the lender, loan type, and deal strength. A larger down payment lowers loan-to-value and can improve terms — model options with the down payment and LTV calculator.

Does North Dakota have programs for beginning farmers?
Yes. USDA FSA reserves part of its Farm Ownership and Operating loan funds for beginning farmers (generally 10 years or less operating) and offers a Down Payment Loan program for eligible buyers. See the FSA farm loan page.

Do large farm sizes change how loans work here?
The loan types are the same, but bigger parcels can mean larger loan amounts and appraisals, so lenders will look carefully at total repayment capacity and collateral.

Where do I apply?
Start with a North Dakota ag bank, a Farm Credit System lender, or your county FSA office. If you want help packaging the file first, see below.