MBA: Rural/Farm Home Loan Sector Enjoying Strong Growth

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MBA: Rural/Farm Home Loan Sector Enjoying Strong Growth Loan production in 2011 for Rural Housing Services and Farm Service Agency loans grew more rapidly than any other residential loan type or program, according to a new origination data analysis conducted by the Mortgage Bankers Association (MBA).

The MBA analysis determined that new rural/farm loans for home purchase rose nearly 30% from 2010's level. In comparison, production levels for U.S. Department of Veterans Affairs loans were up nearly 6% for the same period, while new home purchases endorsed by Federal Housing Administration were down a substantial 20%.

The MBA also reports that rural and farm loan production volumes outnumbered conventional jumbo transactions in 2011 by about 8%.Â

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