Buying vs. Building a Horse Property: Weighing the Pros and Cons

One of the biggest decisions you'll face in your journey to owning a horse property is whether to buy an existing property or build one from scratch. Each option has its own set of advantages and challenges. Today, let's explore the pros and cons of both buying and building a horse property and delve into some crucial considerations if you decide to build.

Pros of Buying an Existing Horse Property:

1. Immediate Use:

- Ready to Move In: An existing property is ready for immediate use. You can move in your horses and start enjoying the facilities right away.

- Established Infrastructure: Established properties often come with mature pastures, barns, arenas, and fencing, saving you the time and effort of building from scratch.

2. Cost Predictability:

- Known Costs: With an existing property, you have a clear understanding of the purchase price and can better estimate any additional costs for upgrades or maintenance. When purchasing a boarding facility, training facility, or equestrian center, costs of current operations can also be calculated fairly easily if they are not already calculated for you.

3. Location and Community:

- Established Community: Existing properties are often located in established communities, providing you with a network of fellow horse enthusiasts and access to local amenities. If you are taking the commercial boarding, training facility, or equestrian center route you may even already have an established clientele that may follow the property.

Cons of Buying an Existing Horse Property:

1. Customization Limitations:

- Pre-existing Layout: You may need to make compromises on the layout or features of the property, which might not perfectly match your vision or needs.

2. Maintenance and Upgrades:

- Older Facilities: Depending on the age of the property, you may need to invest in maintenance and upgrades to meet your standards and ensure safety. Some outdated facilities don't keep in mind the idea of accessibility, accessibility features may have to be added in to create a property that is easy to navigate and maintain.

Pros of Building a Horse Property:

1. Customization:

- Tailored Design: Building from scratch allows you to design every aspect of your property to suit your specific needs and preferences, from barn layout to pasture design.

2. Modern Amenities:

- State-of-the-Art Facilities: You can incorporate the latest technology and modern amenities, such as automatic waterers, temperature and humidity controlled tack rooms, and energy-efficient buildings.

Cons of Building a Horse Property:

1. Higher Costs and Time:

- Initial Expenses: Building a property can be significantly more expensive than buying an existing one, with costs for land, construction, and permits adding up quickly. If you have plans to run a business on a new construction property, you will have to keep in mind cash flow. Time and time again I see immaculate facilities with all the latest and greatest amenities but the maximum income the property generates will not even cover the mortgage. This is called being in a negative cash flow.

- Time-Consuming: The building process can be lengthy, often taking several months to years, depending on the scope of the project. If you are looking to build your forever home this wait can be well worth it but if you are a business owner this can be long and challenging process.

2. Complex Permitting and Testing:

- Permitting: You'll need to navigate various permits and regulations, which can be complex and time-consuming. There are so many unknown factors that can throw a wrench into your plans and account for extra costs.

- Perc Tests and Soil Quality: Perc tests are essential to determine if the land can support a septic system. Soil quality tests will inform you about the suitability of the land for building and pasture growth.

- Zoning Laws: Ensuring the land is zoned for equestrian use is crucial to avoid future legal issues.

Important Considerations When Building:

1. Cost:

- Budgeting: Be prepared for higher initial costs, including land purchase, architectural plans, construction, and landscaping. DO NOT forget to account for fencing costs. Fencing is a cost that absolutely can cost you tens of thousands of dollars, even on a smaller parcel of land.

- Contingency Funds: Always have a contingency fund for unexpected expenses that arise during construction.

2. Permitting:

- Local Regulations: Research and comply with local building codes and zoning laws. This includes obtaining necessary permits for construction, water usage, and waste management. Always be sure to contact the DNR for additional information. The DNR has more say over what you can do with your property over anyone else. Make sure to check all wet land mapping inventories for your property as wet lands are protected in Wisconsin. This can make a property completely unsuitable for construction, or require additional permitting.

3. Perc Tests and Soil Quality:

- Perc Tests: These tests assess whether the soil can absorb water from a septic system, which is vital for properties without access to municipal sewer systems.

- Soil Quality: Testing soil quality helps determine its suitability for pasture growth and stable construction.

4. Infrastructure Planning:

- Utilities: Plan for water, electricity, and waste management systems. ESPECIALLY MANURE, if you have a boarding operation this can also help to control fly larvae reproduction, odor and keep facilities tidy.

- Accessibility: Ensure easy access for deliveries and emergency services, with well-planned driveways and parking areas. THINK BIG CULVERTS for those extra long trailers! Check local municipalities for allowances for culvert sizes especially on those narrow rural roads!

5. Designing for Efficiency:

- Layout: Design with daily chores in mind to ensure efficiency and safety. Consider the placement of barns, arenas, pastures, and storage to minimize labor and maximize functionality.

- Safety Features: Incorporate wide aisles, safe fencing, and proper ventilation in barns to ensure the safety of your horses and caretakers. Having proper ventilation can also keep a barn or structure from accumulating condensation and slowly deteriorating it.

Deciding whether to buy or build a horse property is a significant decision that depends on your specific needs, budget, and timeline. Buying an existing property offers immediate usability and cost predictability, while building allows for complete customization and modern amenities. However, building comes with higher costs, time investment, and the complexity of permits and tests.

As an equestrian property specialist, I'm here to help you navigate this decision, ensuring you make the best choice for your future, weather that is looking for the perfect farm or that perfect plot of land!