As an equine professional, you know that the Thoroughbred industry is unique and lucrative. The Thoroughbred sales market offers a chance to invest in one of these beautiful animals, but it can also be risky if you’re not well-versed on the process.
In this article we’ll discuss everything you need to know about thoroughbred sales, from checking out the venue and pricing down to fees and taxes. By the time we’re done, you’ll be ready to make your first big purchase!
Types of Thoroughbreds
Thoroughbreds are a type of horse, and they are known for their speed and agility. They are often used for racing as well as riding and show jumping.
In the United States, Thoroughbred breeding stock is divided into three categories: Classic, American, and National Hunt racing.
When you attend a thoroughbred sale, it’s important to be prepared for the experience. You’ll want to know where you’re going and what time the sale starts. You should also have an idea about how many horses will be sold and how many people are expected to be in attendance. This can help you decide whether or not this is the right event for you.
The price of a horse is determined by several factors, including pedigree, racing potential, age and gender.
- Pedigree: The pedigree is the bloodline of the horse. This influences everything from breeding to athleticism to personality traits in a horse.
- The higher-quality pedigrees tend to fetch higher prices because they have been proven winners or shown their potential as winners through racing records or offspring that are successful on the track or at stud farms.
- Racing potential: Racing ability can be difficult to gauge when looking at young horses with limited experience under saddle. However, you can get an idea of how well your prospect will develop into a racehorse by looking at his bloodlines and watching him run during training sessions on the track (if there are any available).
- If you’re buying a yearling who’s already been trained for racing and has displayed some speed in practice races but not yet entered any actual competitions—such as claiming races where trainers can enter their horses for no cost in order to find out if they’re good enough—you know he has promise because he was chosen by trainers who think so highly of him that they wanted him even though they could’ve just entered someone else instead.
Fees and Taxes
While some fees are paid by the buyer, others are paid by the seller. The most common types of fees include:
- Registration fee — This fee is charged at both public and private sales, and it covers all costs related to registering your horse’s name in a national database. It may also include pre-registration services such as DNA testing, which can improve the odds of a successful sale transaction.
- Commission — A sales commission is typically split between the seller and his agent(s). If you’re working with an agent who is also representing other buyers at this auction (which happens at many auctions), he’ll be taking care of collecting commissions from those parties as well.
- Seller’s Fee — If there was no reserve price placed on your horse during its auction registration process, then this fee should be paid by whoever purchased it during bidding rounds where no bids were placed on him/her/it beforehand due to lack of interest among potential buyers (or because there weren’t enough funds available in reserve accounts).
If you are the type of person who wants to get involved in thoroughbreds, then this is a good place to start. We hope that you have gained some valuable insight into the Thoroughbred Sales industry and how it all works. So, if you’re ready, let’s go get your horse!