Are System institutions required to use the Farmer Mac land value limit with the rural housing value limit?
No. Although Farmer Mac places a limit on the value of the land associated with a rural dwelling (50 percent of the total appraised value of the combined property), System institutions do not have to use that limit. However, rural housing loans made by System institutions with land values exceeding the Farmer Mac limit would not be eligible for sale into the Farmer Mac secondary market or for Farmer Mac credit enhancements. 8. May housing market data be segmented when determining moderately priced values? Yes. It may be appropriate to segment housing market data for new construction of single-family homes to arrive at moderately priced values. For example, a rural area might have smaller, older existing houses that are not of the same character and size of recently built homes or those planned for the area. This may require segmenting the data into new and existing homes to determine the moderate price of newer housing. It may also be necessary if the cost of new home construction is h
