---
kind: "section"
citation: "7 C.F.R. § 763.6"
title: "7"
number: "763.6"
heading: "Limitations."
url: "https://uscodex.org/cfr/7/763.6"
---

# §763.6. Limitations.

- (a) To qualify for a guarantee, the purchase price of the farm to be acquired through the land contract sale cannot exceed the lesser of:
  - (1) $500,000 or
  - (2) **The current market value of the property.**
- (b) A guarantee will not be issued if the appraised value of the farm is greater than $500,000.
- (c) **Existing land contracts are not eligible for the Land Contract Guarantee Program.**
- (d) Guarantees may not be used to establish or support a non-eligible enterprise.

## Notes

### Authority

Authority: 5 U.S.C. 501 and 7 U.S.C. 1989.

### Source

Source: 76 FR 75430, Dec. 2, 2011, unless otherwise noted.