Demand for Farm Loans Down as Profitability Increases
According to the 2021 Agricultural Lenders Survey results recently released by the American Bankers Association and Farmer Mac, farm profitability is improving.
farm lending
Agricultural Banks Remain Financially Strong, Farm Loans Declining
Agricultural loan balances at commercial banks reached a five-year low in the fourth quarter and continued to shift toward farm real estate.
Amid Uncertainty, Lenders Remain Concerned About Agricultural Liquidity
Lenders continue to be most concerned about the liquidity, income, and leverage of producers. Uncertainty regarding tariffs and trade, the weather, and the impacts of the COVID-19 pandemic and resulting economic downturn is close behind.