A Circuit Lease Questions (Ontario)

[hjgirl987]

Hi everyone,

Thank you in advance for taking the time to read and (hopefully) respond to my questions.

I am planning ahead to the 2021 season, and am working with my trainer to secure a lease for the 18-35 Adult Amateur Division for the Quebec/ Ontario, Canada ‘A’ Circuit. I am an experienced rider, don’t need a packer, but need something that is happy to be in the ring and confidently knows its job.

Before I say anymore I would like to stress that I am in a program that I trust and very lucky to be surrounded by great training, proven professionals and high quality care - no concerns with any of those core factors. I am 99.999% certain in what the correct answers are, I don’t think I’m going to be “hoodwinked”. I have been in the horse world for a while now, but am more versed in ownership than lease trends. Call this my due diligence.

1. What would you roughly approximate the cost of a lease on a nice division hunter to be? Contributing factors: Gets a piece of the hack, has been safe for a moderately capable JR, pins well unless rider has tragic rides. This is a horse that will qualify for the 2021 Royal Winter Fair (God Willing!)

2. Considering the estimated lease, what percentage of commission would you expect the trainer to receive?

I hope my questions are clear, and I realize the answers are dependant mainly on my Ontario location. Many thanks!

[blondewithchrome]

I don’t know what the Canadian market is like, but in my neck of the woods in the mid Atlantic you can see most like that on BigEq that have a good record at 3’ and are fancy are around $20-50k for the year. Rule of thumb is generally lease is 1/2 or 1/3 purchase price. I personally see that is about right for the solid 3’ campaigner I’ve ridden (though I myself have never been able to shop in that budget so GOOD LUCK to you - how exciting!!)

[DarkBayUnicorn]

$15-25K depending on how much of a piece you want of that hack. If you want the winner, plan on higher side.

Add more if it’s already been to and placed well at the Royal. It’s such a unique venue you just don’t know how they will be until you’re in the ring that first time there. Sometimes the ones that never bat an eye anywhere else are the ones that spend the day on their back legs waving to the crowd.

[OneTwoMany]

Agree with earlier posters. A year lease will usually run 1/3 (sometimes 1/2) the purchase price, but 1/3 is more common.

What qualifies as an “A” circuit horse can vary considerably from one geography to the next. We are in Zone 2 which is a competitive area. A 15K lease is not impossible to find, but that budget probably won’t get a mount that checks all the boxes you listed. 20-25K is a more realistic starting budget. 50K, or even a bit more, is not out of the question if you want a horse that can get a nice hack ribbon in top company.

Commissions can run 10-20%. 10-15% is more common IME.

[dags]

You might find something cheaper in Canada, but I’d venture about $35k-45k/yr for something that is of legitimate American hunter quality. Perhaps less if you venture north of 15 years in age.

There’s often a shift in the 1/3 rule at the lower price points. If the horse is of any reasonable quality and still has some youth, anything less than $25k just doesn’t cover the risk to the owner. In fact, you could probably buy this animal for $45-65k, but it will lease closer to 50% of its asking price. $15K is just not enough to justify potential loss of use on a $45k horse.

[GoodTimes]

With the current situation you may have an easier time finding a deal in the next year or so. Hard to say.
There might be a $15k lease out there that can get you to the Royal. But it’s probably either green, or needs maintenance, or is quirky.
There are a lot of horses out there with the quality to get to the Royal. Whether their program, pilot, or the person paying the bills can get them there is another question. Don’t be afraid to look at some of the nicer Trillium horses.

Realistically though, for what you describe you’re probably looking at at least $25k. If you want something that’s been to the Royal it will just keep going up.

[lintesia]

Something to also maybe sort out ahead of time – In the event you were to renew the lease for a second year, will your trainer expect you to pay another commission? Some might assume “No way!” but some might assume “Of course!”

Better to not be surprised should renewing be the case.

[hjgirl987]

Thank you all so much!

This matches up to what I was expecting/ anticipating.

Well wishes to you all… stay safe and healthy

[hjgirl987]

@lintesia

Something to also maybe sort out ahead of time – In the event you were to renew the lease for a second year, will your trainer expect you to pay another commission? Some might assume “No way!” but some might assume “Of course!”

Better to not be surprised should renewing be the case.

Great point! Surprises and horses do not mix… (lol)

[hjgirl987]

@blondewithchrome

I personally see that is about right for the solid 3’ campaigner I’ve ridden (though I myself have never been able to shop in that budget so GOOD LUCK to you - how exciting!!)

Thank you so much! This “budget” has been a work in progress for a long time, and continues to be… I work my tail off, literally cut coupons, and my BFF cuts my hair. I swear it doesn’t look bad! These are the crazy things I do for horses…

[Sport]

Sounds like you have an exciting year ahead. Good luck and hopefully we will see you performing at the Royal in 2021