Section 763.12 - Down payment, rates, terms, and installments(a)Down payment. The buyer must provide a minimum down payment of five percent of the purchase price of the farm.(b)Interest rate. The interest rate charged by the seller must be fixed at a rate not to exceed the Agency's direct FO loan interest rate in effect at the time the guarantee is issued, plus three percentage points. The seller and buyer may renegotiate the interest rate for the remaining term of the contract following expiration of the guarantee.(c)Land contract terms. The contract payments must be amortized for a minimum of 20 years and payments on the contract must be of equal amounts during the term of the guarantee.(d)Balloon installments. Balloon payments are prohibited during the 10-year term of the guarantee.