Lexington, Kentucky is known as the "Horse Capital of the World", so it should come as no surprise that horse farming is one of the main occupations here. Lexington is home to numerous horse farms that range from small family-owned operations to large commercial breeding and training facilities. Owning a horse farm in Lexington offers many benefits, but it also comes with its own set of challenges.
The Benefits of Horse Farming in Lexington
One of the biggest benefits of horse farming in Lexington is the strong community of horse enthusiasts and industry professionals. This community provides support and resources for farmers and helps to drive the local economy. Horse racing and events such as the Kentucky Derby and the Kentucky Horse Park bring thousands of visitors to the area each year, providing a significant boost to the local economy and job market.
Numerous Facilities For Horses
Another benefit of horse farming in Lexington is the access to world-class facilities, including veterinary clinics, training facilities, and racetracks. These resources allow farmers to properly care for their horses and provide them with the necessary training and resources to thrive. Lexington also boasts a favorable climate and fertile soil, which makes it ideal for growing grass and hay to feed horses, as well as raising healthy horses.
Low Tax Rates
Last, but certainly not least, Kentucky enjoys some of the lowest tax rates in the U.S. Tax rates vary between counties, but in general, the rates range from 0.75% to 1% of the assessed value of your property for the first few years. If you're planning on buying 10 acres or more, you could also be eligible for an agricultural exemption.
The Challenges of Horse Farming in Lexington
Costs Can Be High
If you own a horse farm in Lexington, you’ll also come across some challenges. One of the main hurdles is that the cost of maintaining and caring for horses is high, and the industry is subject to fluctuations in the economy and changes in consumer preferences. Horse racing and events can also be impacted by inclement weather and other unforeseen circumstances, which can have a significant impact on the local economy.
Additionally, horse farming in Lexington can be competitive, with many farms vying for the same resources, such as land, water, and feed. This competition can drive up costs and put pressure on farmers to constantly improve and innovate.
Need to Innovate
Another challenge facing horse farmers in Lexington is the need to balance traditional farming practices with modern technology and innovation. While traditional methods and techniques have been effective for many years, the industry must continue to evolve to keep pace with changing market demands and advances in technology.
Despite these challenges, horse farming in Lexington remains a thriving industry, with a strong community of farmers, enthusiasts, and industry professionals who are dedicated to promoting and preserving the horse racing and horse farming traditions of the area. Horse farming provides many benefits to the local economy and community, and with continued investment in technology and innovation, it will continue to be a cornerstone of Lexington for years to come.
Are you considering buying or selling a horse farm in Lexington or the surrounding Bluegrass communities? Leave us a message here and we can answer any questions you may have about farm real estate in Central Kentucky. You can also call 859-608-8039 to speak to one of our local realtors today!Posted by Hill Parker on