Buying a new horse - what proportion of your savings/income are you prepared to spend?

[BBP]

I know purchase price and buyer/seller nightmares are regularly done on here but with horse prices now relatively high (compared to 19 years ago when I bought BBP!) I’m curious about how much people are prepared to spend relative to what they earn/have in savings? I’m not quite sure how to phrase it. The horses I have recently seen that might suit me seem to be around the £6000-£8000 bracket and I’m in no way saying they are over priced. But relative to my salary and savings it’s a big chunk of money for someone like me to spend on something flesh and blood that could break the next day (or be messed up already based on my most recent purchases, although neither cost that much). For less I can only get another youngster (and now I like to wait til 5 to back that is a long term investment), a broken one or an ex racer.

Part of me thinks, ‘life is short, buy the horse’ (repeated to me by a friend with cancer who is making the most of life with her lovely horse), whilst the other part thinks, ‘what if I need those savings for vets bills for the creatures I already have’ or to pay off a chunk of the mortgage…I’d say or use to go on holiday, but realistically with horses/dogs that isn’t going to happen anyway!

So I’m curious as to how other people budget it and which side of the angel/devil on your shoulder you fall?

 

[NoodlesHalloween]

I am boring and like to have some savings always aside so I would always have a budget amount that I would stick to without eating into my savings

 

[Michen]

I feel the same. My intention if I buy another is to spend no more than 10% of my annual salary, which here is a not even very decent horse!

And I would want to have double what I spent on the horse, in the bank as savings, to feel comfortable that when purchasing said horse you are essentially setting fire to the money.

 

[starbucker]

All of it! Joking. I spent 1/7th annual income but I inherited it luckily but decided it was more worth it than a new bathroom. I did buy a youngster though. Plus the £500 for livery deposits etc and set up plus about a grand in tack and other bits for said horse. I had about 1k left over oops! Easy come easy go... but then again I have an OH that I can fall back on for house repairs. As Michen said imagine dropping the money down a dark pit and hope for the best .... also definitely buy the horse (with a vetting)

 

[daffy44]

I dont do percentages, I'm terrible with numbers, but I work on the theory that I'll only spend what I'm happy to lose, because you never know with horses.

 

[lynz88]

I dont do percentages, I'm terrible with numbers, but I work on the theory that I'll only spend what I'm happy to lose, because you never know with horses.

This is what I would do (I say "would" because I got mine by accident and for free)

 

[Alibear]

I'm terrible I don't view it like that at all. If I want a horse of X type and they cost £Y, then £Y is what I spend. It's the running costs that get me as I don't have land, but I've solved that by getting a promotion each time I've got a new horse.

 

[Caski]

This is what I would do (I say "would" because I got mine by accident and for free)

Lynz88 - you must train us on that wonderful ability!

 

[BBP]

I'm terrible I don't view it like that at all. If I want a horse of X type and they cost £Y, then £Y is what I spend. It's the running costs that get me as I don't have land, but I've solved that by getting a promotion each time I've got a new horse.

See I have land but a job where there is no promotion!

 

[starbucker]

I'm terrible I don't view it like that at all. If I want a horse of X type and they cost £Y, then £Y is what I spend. It's the running costs that get me as I don't have land, but I've solved that by getting a promotion each time I've got a new horse.

I respect this kind of horse purchase logic! ha Second that its running costs that make you skint

 

[blitznbobs]

The amount I can truly afford
To lose … like if the horse broke its leg tomorrow it might be the end of the world but wouldn’t effect my finances significantly

 

[lynz88]

Lynz88 - you must train us on that wonderful ability!

I think this time around was sheer luck! the lady I got mine from was a vet tech at the track and we used to get lots of ottb's for free....mine almost got traded a few times but very glad he won a special place in my heart

 

[starbucker]

See I have land but a job where there is no promotion!

Take up a side hussle? Or take on a livery £ to keep your new horse company and pay off (justify) your new purchase ?

 

[IrishMilo]

I always buy cheap, but that's because I love TBs and thankfully they're a dime a dozen. My two most expensive horses have been £3.5 and £3.8k. I can't imagine spending 10-15k on a horse for it to go wrong a year later, it's not worth the squeeze for me.

 

[honetpot]

I am a make do and mend person, I only spend what I can walk away from and TBH I wouldn't know what I would do if I had more than £1500 to spend. I like buying something that others think is perhaps not worth the time and making the best of it.
It's the cost of keeping it that is the worry, I am not sure if I could have afforded one a twentyone now.

 

[humblepie]

Another who’d go for an inexpensive TB hopefully where a really nice home and experience was valued over price.

 

[SpotsandBays]

With the prices of horses now, I don’t think I’ll ever be comfortable buying something ready made. Will have to be a youngster!

 

[SEL]

My last one was the most expensive - but I spent the insurance proceeds from our storm damage! I did insure him for LOU for year 1 though.

If something happened to one of mine then I know I need 3 here so it would have to be a youngster I think. But I spent the money on the last one knowing I wanted something I could just get on and ride (backed 4yo) because I'd had too many years of broken horse / rehab.

 

[ihatework]

I only spend what I can afford to burn the next day, and not be left in financial problems. Even then, I am fairly cautious.

 

[Miss_Millie]

I have been tentatively looking for another myself, and am also leaning towards the cheap youngster end of the scale. There are so many dodgy dealers and dishonest sellers about, so many horses ruined through poorly fitted saddles, being backed too early, bad training practices etc. Have seen a nice four year old local to me for £2.5k, only groundwork done, exactly my type of horse and looks a nice sort. I'm only window shopping right now but they are out there! I am the same as you BBP, would like to spend £6 - £8k but can't justify it.

 

[Peglo]

I think I was left with a third of my savings after buying Tali. Having the 2 older ones as well meant my costs were quite high with 3 but comfortable. I’ve lost them both since and having Tali was a blessing.

They say you can’t buy happiness but my goodness I did you can’t take it with you after all.

ETA my newest one was much less money but would’ve spent more than I did if needs be.

 

[ycbm]

Another "what I can afford to lose".

I also wouldn't spend anything that would mean I would borrow to keep either the new horse or another one alive.
.

 

[MuddyMonster]

What I can afford to.lose, sums it up nicely! I'd rather the savings in my account - we are pretty committed to paying off our mortgage early & increasing our savings, so although in theory I could spend more, I don't think I'd want to.

The type of horse I like, the things I like to do and what I'm prepared to compromise on helps that I should be able to buy more cheaply than some (in theory at least).

 

[KittenInTheTree]

I think it depends on the horse and also the circumstances, really. But I wouldn't want to leave myself with no safety bubble at all financially.

 

[fidleyspromise]

Last year I had 0 savings but my partner was lucky to get a decent amount of money. I struggled with buying a horse over £1k, never mind a few thousand.
My partner was happy to give me the money as the new horse was to be my new adventure buddy for hopefully 20+ years. I spent a quarter of the money buying him and insurance for a year.

It took me several months to not think Holy crap how could I spend so much on one horse - my current one in a million horse cost me 800 in 2006.
I love my new little dude (had him over a year now) and he's what I needed as he's confident which is a great start for when I start him.

 

[HopOnTrot]

What I would spend is vastly different to what my husband would spend, it’s all family money as we get most of our income from our jointly owned business.

Luckily next horse is likely to be a mother daughter share so I’ll have a bit more bargaining power

 

[marmalade76]

It's a difficult one, life is indeed short and IMO there's lots of horsey fun that's best done when you're young.

That said, I would also put myself in the not spending more than I'm prepared to lose group.

 

[AShetlandBitMeOnce]

I spent 28% of the savings I had at the time on him, he cost 11.3% of my annual salary at the time
I have now taken a job with a bit of a paycut and his livery, shoes, feed and insurance which I consider the basic costs (hay/bedding incl with livery) is 19.7% of my net take home pay.

I didn't consider it like that when I bought him though, I just thought 'does it feel like that's doable... yes... then I'll buy him' - the savings were actually supposed to pay for the stamp duty on the house I was trying to buy but it all fell through so I thought sod it, buy the horse. I also couldn't afford (and didn't want to) buy a ready made ID, so I had to buy unbacked. He was mid £5-10k range.

 

[SpeedyPony]

Another who buys youngsters, I've never had made horse money. I also wouldn't spend more than I was prepared to write off. You can get a fairly nice welshie at the auctions for around a grand (or at least you could a couple of years ago, that may have changed), although as you say you do then have to feed and keep them until they're old enough to back.
Depending on what you want to do, you could back at late 3/4yo and potter without causing any issues? Realistically, if you buy a made horse, they will almost certainly have been backed earlier than 5 and you may not know if they've been hammered in their early years, whereas with a youngster you back yourself you can ensure they spend their 4/5yo years hacking quietly, which is probably a better bet for long-term soundness.

 

[ycbm]

I spent 28% of the savings I had at the time on him, he cost 11.3% of my annual salary at the time
I have now taken a job with a bit of a paycut and his livery, shoes, feed and insurance which I consider the basic costs (hay/bedding incl with livery) is 19.7% of my net take home pay.

I didn't consider it like that when I bought him though, I just thought 'does it feel like that's doable... yes... then I'll buy him' - the savings were actually supposed to pay for the stamp duty on the house I was trying to buy but it all fell through so I thought sod it, buy the horse. I also couldn't afford (and didn't want to) buy a ready made ID, so I had to buy unbacked. He was mid £5-10k range.

Very impressive. How can we tell you're an accountant ?

And he was a bargain.
.