Selling arangement...advice please :)

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Rochelle1138

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Good morning everyone 

I was wondering if anyone would be so kind as to offer some words of wisdom or help 

My friend bought an ID Filly from a stud reduction 12 months ago, however Filly (just 3) is not going to be big enough for friend so she has decided to let her go.

One of the girls on the yard has expressed an interest in buying the filly….paying a £200 deposit and the remainder of the balance over 2 years’ worth of instalments :S
Personally I wouldn’t want to go down that road re: the money but my friend is considering as the filly would have a good home.
So here’s where the advice is needed…. Obviously a contract will be needed. ..Are there any out there that we could download? I think the NFU had a loan contract will have a look there shortly.
Is a seller entitled to keep a non-refundable deposit if it’s agreed by both parties and signed? Where does seller stand in regards to insisting that Flu/Tet vacs are kept up to date, as with the farrier. And that the horse must be insured by the loaner/buyer?
Also, and call me crazy, but would a two month trial period be a good offer? IE, deposit paid non-refundable, however seller will let buyer back out of the deal within the 2 month period and give back the instalments paid thus far?

Anything I’ve forgotten or your thoughts/suggestions are greatly accepted.

Oreos for you all 
 
not something i would go into i'm afraid, too many possible problems imho. what happens if the horse becomes ill or injured and the buyer then backs out?? your friend is then left out of pocket and with a horse she can't sell.

the BHS do a loan agreement as well which could be adjusted to your needs, however i would recommend having a specialist equine solicitor check it over to protect all parties.

definitely have a non-refundable deposit in place signed by both parties, all vet/farrier/insurance etc should be put in the contract.

personally i would not allow a 2 month trial period, this girl needs to think long and hard and make a proper decision before entering a legal agreement such as this.

maybe it could work, but not something i would do;)
 
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Even with a contract I wouldn't go down that road, I'm afraid.

The filly could drop dead the day after the sale - can you friend really think that she'd still get paid for it??
 
The purchase price is nothing compared with the cost of caring for a horse esp if it gets sick or injured. This is not a good home however lovely the girl is, since she would not be able to afford to pay a massive vets bill for the horse.

I wouldnt entertain it, certainly not more than 3 months of instalments.
 
I would also say that an ID filly at 3 is no where near grown. So unless your friend is looking for something 17hh, and the mare is only 15hh she can't possibly know if it's not going to be big enough.
 
I have bought this way and ended up selling my last horse this way.
It's not something I would do again but when i bought I paid instalments of 500 per month and then had my livery costs on top.
The reason I bought tho way is am utter crap at saving money but had more than enough for livery and the instalment each month.
I was given a legal contract with one I bought and it stated that owner coul check on horse whenever and horse was not my property until I paid the last payment. If at anytime there was concern for welfare she would take the horse back and I woul forfit any money I had paid.
I also had to have horse fully insured and if anything happened to the horse ie colic and needing pts I still had the pay remaining balance.
 
amymay said:
I would also say that an ID filly at 3 is no where near grown. So unless your friend is looking for something 17hh, and the mare is only 15hh she can't possibly know if it's not going to be big enough.
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Friend is 5'10 and filly is quite short coupled and compact, she's a finer stamp of ID and nothing like her 2 other riding horse (both at the 17h mark) :)
 
I wouldn't do it (and I am a solicitor so can draft a decent contract). Too much risk that not even a contract can protect against. Also why on earth do you need a two month trial for a 3 year old?!
 
Agree with the others & wouldn't go down that road. My friend done it when she sold one of hers the girl paid most of the money & had £200 left to pay (my friend stupidly didn't get a contract together) & guess what the girl said she wasn't paying the rest as she found out it cribbed, which friend had already told her at the start so girl has disappeared & changed number etc, but friend didn't get anything in writting so she has learnt her lesson. So even with a contract it's just not worth the risk in my opinion.
 
ghostie said:
I wouldn't do it (and I am a solicitor so can draft a decent contract). Too much risk that not even a contract can protect against. Also why on earth do you need a two month trial for a 3 year old?!
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Its clearly not a trial in terms of the horses suitability it was to take into consideration the prospective buyers financial situation. A i said its not personally a route i would take, but i did say to my friend that i would look into it for her. I suppose i will just have to hope she realsies its not a good idea either.

Thanks for taking the time to reply though :)
 
ghostie said:
I wouldn't do it (and I am a solicitor so can draft a decent contract). Too much risk that not even a contract can protect against. Also why on earth do you need a two month trial for a 3 year old?!
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This ^^^ if your friend is even considering going ahead with this she needs to speak to a lawyer and get a contract sorted and get the insurance sorted. It is likely that she will have to continue insuring so that should the filly die, get injured or whatever she won't lose out.

amymay said:
I would also say that an ID filly at 3 is no where near grown. So unless your friend is looking for something 17hh, and the mare is only 15hh she can't possibly know if it's not going to be big enough.
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This too, IDs are late developers, at 5ft10" I would be amazed if this horse will mature to be too small for your friend. You commonly see IDs advertised for sale because they have grown beyond expectations at later ages. I viewed one that had been purchased as a 5 year old standing at 15.3hh and had put on another hand by the age of 8. Even the small ones tend to take up the leg well.

But if she wants to sell I'd suggest your friend advertises on the open market a 3 year old ID filly with half decent breeding will sell easy peasy and for decent money with no faffing about over installments.
 
Kat said:
This ^^^ if your friend is even considering going ahead with this she needs to speak to a lawyer and get a contract sorted and get the insurance sorted. It is likely that she will have to continue insuring so that should the filly die, get injured or whatever she won't lose out.



This too, IDs are late developers, at 5ft10" I would be amazed if this horse will mature to be too small for your friend. You commonly see IDs advertised for sale because they have grown beyond expectations at later ages. I viewed one that had been purchased as a 5 year old standing at 15.3hh and had put on another hand by the age of 8. Even the small ones tend to take up the leg well.

But if she wants to sell I'd suggest your friend advertises on the open market a 3 year old ID filly with half decent breeding will sell easy peasy and for decent money with no faffing about over installments.
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I agree with all this. However if your friend does go down the installment route I wold only allow the cost to perhaps be split into 3 or 4 non refundable under any circumstances monthly payments with ownership not passing to purchaser until payment received in full.

Eeeeek at the 5 yo making up another hand by 8, we have just bought a nearly 5 yo 3/4 ID who is 15.3, saddler thinks he still has some skeletal development to do - wasn't there a thread about stepladders and mounting blocks!!!!
 
Kat said:
This ^^^ if your friend is even considering going ahead with this she needs to speak to a lawyer and get a contract sorted and get the insurance sorted. It is likely that she will have to continue insuring so that should the filly die, get injured or whatever she won't lose out.



This too, IDs are late developers, at 5ft10" I would be amazed if this horse will mature to be too small for your friend. You commonly see IDs advertised for sale because they have grown beyond expectations at later ages. I viewed one that had been purchased as a 5 year old standing at 15.3hh and had put on another hand by the age of 8. Even the small ones tend to take up the leg well.

But if she wants to sell I'd suggest your friend advertises on the open market a 3 year old ID filly with half decent breeding will sell easy peasy and for decent money with no faffing about over installments.
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Thanks for your opinions everyone, im glad everyone else seems to agree that it is probably going to end up casuing more difficulties than if she just advertised on the opn market (as KAT mentioned)

Will see friend at weekend, Filly is well bred and a lovely lovely girl, she has attracted intrest from being on one website, however all the callers were men looking for big boned mares, which she currently isnt.

Better luck to come! :)
 
If this three year old is a full ID and a nice type with major conformational faults she will sell on the open market no trouble at all and I think your friend would be mad to enter into the sort of arrangement you suggest.
 
I just wanted to say that once the seller has accepted any money from the buyer the horse legally belongs to the buyer. I tell you this from past experience. If the buyer stops paying you have to take them to court to get your money and it's costly. Def not worth it.
 
Also there is no way I would let a three year old go on a two month loan and risk some numpty trying to break her and getting her back with a load of issues .
A nice correct ID correctly priced will sell.
 
I am another who would never do this kind of arrangement, I know someone who did the same thing, with a contract in place, had two installments and then the new owner moved yards, changed numbers etc and they lost out on the rest of the value of the horse. She was also heartbroken as she thought she had found a forever home for him, turns out the new buyer then sold the horse almost immediately for quite a lot of money. :o

I bought a horse in 'installments' from a friend, horse stayed with the previous owner until I paid the balance and I paid in three installments over two months, not two years. Two years is an awful long time for something to go wrong I'm afraid!
 
There is a sign on the wall in our fish shop: It says
'We have an arrangement with the banks, they don't sell chips & we don't cash cheques'

Going down the route of selling a horse 'on the drip' is a very dangerous way to go about the sale. It would be far better that the buyer arranges a loan from either from a bank, building society, or even a member of their family. That way your friend would be sure she would get their money for the horse no matter what happened to either the horse or the buyer in the future.
 
tell the want to be buyer to put the cost either on a bank loan or a credit card, and pay it off in installments! tell the sellar to sell to someone who can afford to buy! paying in installments WILL become a nightmare, with the poor horse stuck in the middle! credit cards were invented for those who want to buy what they cant afford!
 
ofcourseyoucan said:
tell the want to be buyer to put the cost either on a bank loan or a credit card, and pay it off in installments! tell the sellar to sell to someone who can afford to buy! paying in installments WILL become a nightmare, with the poor horse stuck in the middle! credit cards were invented for those who want to buy what they cant afford!
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was just about to say exactly this :)
 
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