Loan with view to buy advice

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Harlequinn2010

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I have had my gelding up for sale for a while now and had a call from a lady asking to loan him with a view to buy. As the market is dead at the moment and I really cant afford to keep him over the winter I decided to consider it and she came to view him at the weekend and really likes him.
She wants to loan him until next summer then buy or has offered to pay in instalments. As I could do with the money for him I would prefer the instalments but I know this has risks.
He would be out on contract which would clearly state that he wouldn’t be officially hers until he is paid for in full.
Would it be reasonable to ask for a deposit?
I am getting him microchip before he goes just in case he is sold on or such is there anything else I can do to prove ownership if a problem arises?

I have never full loaned a horse before so any help you have would be greatly appreciated.
 
I'd be very wary, it sounds like the lady doesn't have the money now so there's no guarantee she'll have it next year. I've actually done this with my sj pony but to people we know and only for 3 months, if they don't want to buy him by then we'll have him back. Alot could happen between now and next summer.

Have you tried reducing his price? If you do decide to go with the lwvtb be careful about the contract because they are basically worthless when it comes down to it and don't be afraid to go and look where the horse will be kept and visit him while he's there.

I would have thought paying in installments creates serious ownership questions
 
The problem is, once you take some of the money he is considered sold and if she does not pay all the money, you cannot go and get him back. You just have to take her to court as a bad debtor. Do you really want to do that ?

I am trying to buy a horse and I found out (just in time) that the ex racehorse the girl was trying to sell me, was actually only just loaned to her ! I found this out from the trainer when I did some research on the horse. So be very careful.
 
LWVTB can be good for all involved, but as warned, it can come with risks.

I loaned out a TB mare with a view to buy. When I put out my wanted ad, I put on there how much I had to spend, and I told the loaner this also. After about 6 months, I asked her if she was prepared to sell the mare to me, and she said yes. I was looking at paying no more than £2k (less for this mare though, as she has feet issues, that needed sorting) Her owner came back to me and said she wanted £2800, and that was taking the current climate into consideration!! She came with no tack or rugs either, and had cost me a small fortune in remedial shoeing, which was still taking place!

Needless to say, I said no, and loaner took her back :(

What I am saying, is makesure you both have an agreed price, BEFORE the loaning starts. Cover all possibilties with sercurity (is he freeze marked?) Ideally you want a set date when the laoning ends, and the decision to buy is made, and I would want full money in cash, no instalments! If she can pay in installments, then why doesn't she put this money away each month, whilst she is loaning, then she'll have the full amount when you ask for it?

Good luck, but go in with eye WIDE open!
(get references too!!)
 
Thanks for the advice.

I only considered letting her pay in instalments as I could really do with the money to keep my other horse going through winter.

He is advertised very cheaply I would say for the current market, is on alot of websites and locally but I have had no interest at all.
There is no way I can afford him over winter & I am starting to get really worried that I wont be able to find him a home.

Should I put him out on a full loan contract until next summer then if she wants to buy him she can, if not the market may be better.
 
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