Grain Bin & Grain Dryer Financing
On-farm grain bins, dryers, legs and conveying, financed as one project from site work to the first fill, with payments after harvest.
On-farm grain bins, dryers, legs and conveying, financed as one project from site work to the first fill, with payments after harvest.
Updated September 2026
Grain bin financing covers on-farm storage, drying and handling as one project: the bins, the concrete, the dryer, the leg or conveyors and the electrical work. New bins cost roughly $2.00–$5.50 per bushel of capacity installed, and a complete system with a dryer and conveying about $4.50–$6.00 per bushel. Because bins are built on the land and last decades, they are financed differently from mobile machines: terms often run longer, payments usually fall after harvest, and if you rent the ground the landowner may need to consent.
| Typical amount | $50K for a single bin to $2M+ for a full storage and drying system |
|---|---|
| Rates | 6–22% APR |
| Terms | 3–10 years; longer terms are common because bins last decades |
| Payment schedule | Annual or semi-annual, due after harvest |
| Down payment | 10–20% |
| Project costs | Concrete, electrical, erection and freight financed with the equipment |
| Rented ground | Landowner consent or a lease that covers the structures |
| Speed | Apply before ordering; build schedules fill up months ahead of harvest |
| Equipment | New | Used |
|---|---|---|
| Grain bin, 10,000–20,000 bu, installed | $30K–$75K | — |
| Grain bin, 30,000 bu, installed | $65K–$90K | — |
| Grain bin, 50,000–100,000 bu, installed | $120K–$400K | — |
| Continuous-flow grain dryer | $80K–$400K | $30K–$150K |
| Complete system (bins, dryer, leg, conveying) | $4.50–$6.00 per bushel | — |
Typical 2026 installed pricing in the Midwest; steel prices and tariffs have pushed bin quotes up this year. Bins are rarely resold used because moving one costs a large share of a new bin. A bin with aeration only runs roughly $3.50–$4.50 per bushel.
Illustrative level payments on the amount financed, shown per payment period.
| Example | Financed | APR · term | Payment |
|---|---|---|---|
| One 30,000-bu bin with aeration, annual over 7 years | $80K | 9% · 7 yrs, annual | $15,900/yr |
| Bins, dryer and leg, annual over 10 years | $600K | 8.5% · 10 yrs, annual | $91,440/yr |
| Replacement grain dryer, semi-annual over 5 years | $220K | 9% · 5 yrs, semi-annual | $27,800 per half-year |
Storage lets a farm sell when the market pays rather than when the combine is full. It avoids the lines and shrink charges at the elevator at harvest, keeps trucks moving during the busiest weeks of the year, and lets drying happen on the farm’s schedule. The financing case is the same arithmetic in dollars: the annual payment against what storage adds through carry, basis improvement and avoided fees. Lenders like to see that math on paper, especially for a large project.
A combine can be driven away and resold. A grain bin cannot, because it is bolted to a concrete foundation on your land. That changes the financing in three ways:
A storage project is more than the bins on the dealer quote. Site preparation, concrete foundations, electrical service and transformers, erection labor, aeration fans and floors, the dryer, the bucket elevator and the conveyors or augers all have to be paid for before the first fill. Most lenders will finance the full installed cost when it is on the builder’s contract or on invoices submitted with the application. Ask the builder for a quote that separates equipment from labor and concrete, which is how many lenders prefer to see it.
A dryer is often the bottleneck at harvest. Replacing an old one, or adding capacity so the combine does not wait, is a common stand-alone financing. Continuous-flow and tower dryers are priced by capacity and fuel efficiency; newer controls and heat recovery can cut propane or natural gas use noticeably, which is part of the payback. Unlike bins, dryers do resell, so a used dryer can be financed like other used equipment when it is professionally moved and installed.
The USDA Farm Service Agency runs a Farm Storage Facility Loan program for on-farm storage, drying and handling, with fixed rates and long terms. It is worth checking first. It also has eligibility rules, application steps and a timeline that do not always fit a build that has to be ready by harvest, and it does not cover everything a project may include. Private equipment financing is faster and more flexible, and some operators use both: the government program for the bins and private financing for the dryer or the rest of the project.
Grain bins and drying equipment are generally treated as farm equipment for depreciation, and financed equipment qualifies for Section 179 like a cash purchase, up to $2,560,000 for tax years beginning in 2026, when placed in service by December 31. A bin finished and filled in the fall counts for that year. The rules for single-purpose agricultural structures and for general-purpose buildings differ, so confirm the treatment of your project with your CPA before you time it.
For the machines that fill the bins, see combine financing, which covers grain carts, and semi trailer financing for hopper trailers. Seed, fertilizer and fuel between harvests fit better on a business line of credit. The full range of farm machinery is on farm equipment financing, and one application at equipment financing goes to 100+ funding partners.
Yes. Grain bins, dryers and handling equipment are financed as a project, usually including concrete, electrical and erection. Because bins are attached to the land, the lender typically records a fixture filing and may need the landowner’s consent if the ground is rented.
A new bin typically costs about $2.00 to $5.50 per bushel of capacity installed. A complete system with a dryer and conveying runs about $4.50 to $6.00 per bushel.
Often, yes, with the landowner’s written consent or a lease that runs at least as long as the financing and gives you the right to the structures. Lenders will ask for one or the other.
Financed over seven annual payments at 9% APR, $80,000 is about $15,900 per year. A $600,000 system with bins, a dryer and a leg over ten annual payments at 8.5% APR is about $91,440 per year.
It often has lower fixed rates and long terms, so check it first. Private financing is faster and more flexible on timing and scope, and some operators use both for different parts of a project.
Yes. A replacement or added dryer is a common stand-alone financing. Dryers resell, so used dryers can also be financed when they are professionally moved and installed.
One application goes to 100+ funding partners, with no impact on your credit score. Send a quote or invoice and we will come back with real numbers.
