How much of my horse’s lease fee should I apply to a purchase option?

teezgrl: How much of my horse’s lease fee should I apply to a purchase option?
I am leasing my horse (off-farm) under a one-year agreement. The Lessee has asked if we can negotiate a percentage of the lease to be applied toward purchase if they decide to but the horse at some point. The lessee is paying all fees/board. The only thing I maintain is mortality & major medical insurance.
I Should specify — we are still finalizing the agreement. The horse hasn’t gone out yet. So the agreed upon percentage will be in the lease.
I Should specify — we are still finalizing the agreement. The horse hasn’t gone out yet. So the agreed upon percentage will be in the lease.

Answers and Views:

Answer by eyesforone
Really this should have been asked before your horse went because now if you work out a percentage your really the one losing. I will give you an example, i leased my boy for $ 100 per month and i only paid for my insurance. When he went on a lease with option to buy i leased him for $ 125 per month with the option to buy only being avaliable for 12 months and the percent of lease was 20% towards final purchase. The purchace price was set before he went on lease with this option so at the end of the 12 months i took 300 off the final sale price. It really depends on the individual as to how much if any at all comes off the sale price. A friend of mine will lease a horse with option to buy but you pay full lease and if you want to buy the horse you pay full sale price not discount at all. It depends on what you want.