Provider of agricultural real estate and rural housing mortgage loans.
Federal Agricultural Mortgage Corporation (Farmer Mac) serves as a crucial secondary market provider for a diverse array of loans extended to borrowers across the United States. Organized into four distinct segments, Farmer Mac's operations encompass Farm & Ranch, USDA Guarantees, Rural Utilities, and Institutional Credit. The Farm & Ranch segment acquires and retains mortgage loans secured by agricultural real estate, securitizes these loans, guarantees timely principal and interest payments on associated securities, and issues long-term standby purchase commitments (LTSPCs). The USDA Guarantees segment focuses on purchasing portions of agricultural and rural development loans backed by USDA guarantees. In the Rural Utilities segment, Farmer Mac purchases and guarantees securities backed by loans for electric or telecommunications facilities, primarily serving cooperative lenders and borrowers in rural areas. Lastly, the Institutional Credit segment provides guarantees and purchases obligations secured by pools of eligible loans under Farmer Mac's various lines of business.
Founded in 1987 and headquartered in Washington, D.C., Federal Agricultural Mortgage Corporation continues to play a pivotal role in enhancing liquidity and financing options in the agricultural sector. Its unique business model supports the financial stability of rural communities by facilitating access to capital for farmers, ranchers, and rural utility providers. Through its comprehensive suite of services, Farmer Mac not only fosters market efficiency but also promotes economic development in underserved agricultural and rural markets nationwide.
As a federally chartered corporation, Farmer Mac operates under a congressional mandate to strengthen the availability and affordability of credit for agricultural producers and rural America. With a robust portfolio of mortgage loans and guarantees, Farmer Mac remains dedicated to maintaining a resilient and responsive financial infrastructure that supports the long-term sustainability and growth of the agricultural economy.