Owning a horse may not be as costly as you’d expect, but it’s still important to prepare for a few thousand dollars in expenses if you’re planning to welcome an equine friend into your life. In the U.S., there are approximately 7.2 million horses. Before investing in a new four-legged companion, it’s a good idea to review all of the costs involved, so you’re financially ready to ride.
For more general help with financial planning, consider working with a financial advisor.
How Much Does It Cost to Buy a Horse?
The type of horse you want to buy will significantly influence its cost. To estimate your cost, start by determining what you plan to do with your horse. This could be showing, work, racing, or recreation. There are more than 3.14 million horses in the U.S. owned or kept for recreational purposes, while more than 537,000 are used for work.
A horse’s monetary value is shaped not only by its intended purpose and thus training, but also by its lineage. For example, warmbloods are popular in disciplines such as showjumping and dressage, and are bred for their size and athleticism. Meanwhile, Quarter horses, named for being the fastest horse over a quarter mile, are popular for timed speed events such as barrel racing.
As with many animals, the time invested in training also affects the initial cost. Horses with little to no training, or no specialized training, generally cost less upfront. Meanwhile, extensively trained horses tend to be more expensive. For example, to buy a horse already trained to compete in events such as showjumping or cross country, you can easily expect to spend tens of thousands of dollars. However, for basic recreational uses, such as pleasure or trail riding, the average cost is about $3,000, according to research by the University of Maine.
Costs You’ll Incur After Buying a Horse
While there’s an upfront cost to buy a horse, there are plenty of other costs that come with owning a horse.
For instance, consider how you’ll transport your horse after your purchase. Or how you’ll transport them if you’re moving them from where they’re stabled to shows or races.
Are you planning on buying a horse trailer and truck capable of pulling it? Or do you know someone or plan to hire someone to transport your horse when necessary?
Per mile, the rate to haul a horse ranges from $0.75 to $3. And if you need to ship your horse across the country, you could incur additional layover fees ranging from $150 to $300 a day, depending on your shipper. Layover fees help cover the costs of any necessities your horse may need during their trip, such as hay, bedding and overnight accommodations.
If you’re boarding your horse, you’ll need to factor in that cost, as well. Boarding facilities vary in terms of what they offer, from full-service to self-care. Some facilities also have riding areas that you can use. All of these things affect the cost. On average, board ranges from $300 to $700 a month. This depends on location and the level of care you want the boarding facility to provide.
Other expenses include:
- Feed: Consider the cost of grain, hay, and salt and minerals for your horse. If horses have access to pasture during the warmer months, they might not need as much grain and hay.
- Healthcare: Vaccines, veterinarian visits, testing and exams are all necessary to keep your horse healthy. Remember that horses can get sick or injured just like humans and other animals. And they’ll need proper treatment if this comes up, which can sometimes mean emergency costs. Just as with other pets, you can also consider buying health insurance for your horse.
- Equipment and supplies: If you need specific riding equipment for recreational use, you’ll need to foot the bill. This can include a saddle, halter and grooming supplies. As a rider, you’ll also need a helmet and boots.
- Farrier needs: Horse hooves regularly need trimming and filing, and for some, shoes are necessary. This will need tending to often, as trimming is necessary about every eight weeks.
- Training: If your horse needs ongoing training or you’re looking for training to ride your horse, you’ll want to consider buying lessons.
You may be eligible for a tax break if you own the land that your horse grazes on. In addition, there may be a tax break available because your horse can be under the “pet” category.
Alternatives to Owning a Horse
An alternative to buying a horse would be leasing a horse. A partial lease would let you ride the horse a few days a week. This is where you pay the owner a fee for your time and for maintaining the rest of the horses’ cost. This might be a better financial choice if you’re looking to learn to ride and don’t want to take on the additional costs of horse ownership.
Of course, it’s also a good idea to invest in riding lessons. This can help you determine the types of disciplines you’re most interested in, as well as the type of horse you’re most comfortable with.
How to Invest in Horses and Horse Racing
Maybe you don’t have the time or space to properly care for a horse. You can also invest in horses; more specifically racehorses. In short, what you’ll actually do is become part owner of a racehorse. That means you are in for potential profits as the horse races and wins prizes.
Smarty Jones, the winner of the 2004 Kentucky Derby and Preakness Stakes, was under the ownership of a fractional ownership group. Investing in horses probably shouldn’t be the way you build your retirement fund. But it can certainly be a fun way to invest if you have a bit of extra cash laying around.
Bottom Line
When evaluating expenses, take a close look at what services boarding facilities cover and where you may have additional responsibilities. If you’re willing to take on more tasks yourself, you could significantly reduce some of the costs associated with horse care. For example, housing your horse in your own stable could save you thousands of dollars a year in boarding fees. Additionally, managing aspects like feeding, grooming and basic care can provide both financial benefits and a stronger bond with your horse. With some thoughtful planning and hands-on involvement, you can enjoy the rewards of ownership while keeping expenses manageable.
Tips for Horse Buying
- Consider talking to a financial advisor about buying or leasing a horse, and how it can be worked into your financial plan. Finding a qualified financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with up to three financial advisors who serve your area, and you can interview your advisor matches at no cost to decide which one is right for you. If you’re ready to find an advisor who can help you achieve your financial goals, get started now.
- Remember to accurately estimate the costs of buying and keeping a horse. Once you do that, you’ll need to include these costs in the context of an overall financial plan. There are numerous resources available to you for creating a financial plan, including software-based resources.
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