Question: How Much Can You Make Selling Timber?

How do you calculate the value of timber?

The more mature trees you have, the more likely it is that your timber is ready for harvest.

To estimate the value of your timber, take the volume, divided by 1,000, and multiply it by the price quoted in your states standing timber stumpage report..

Is timber a good investment?

Timber investments prove less volatile than stocks, private equity, farmland and commercial real estate. Additionally, timber tends to have lower correlation to stocks, bonds and real estate and is less sensitive to economic and market shifts, making it attractive when inflationary pressures mount.

How much do Loggers make per tree?

Logging equipment operators have a median salary of $41,440, as reported in the U.S. Bureau of Labor Statistics 2019 Occupational Employment Statistics. This falls just shy of the median for tree fallers of $44,650.

How much is timber land worth per acre?

The average stumpage price is $300/MBF, or $1,800 per acre total value.

Are timber prices up?

The overall trend of all timber products was up slightly in the first quarter of 2020, as the weighted average price per ton increased +2.8 percent. While all pine products were up, hardwood products continued to demonstrate a significant drop in price.

What is a tree worth?

They have found that a single tree provides $73 worth of air conditioning, $75 worth of erosion control, $75 worth of wildlife shelter, and $50 worth of air pollution reduction. Compounding this total of $273 for fifty years at 5% interest results in a tree value of $57,151.

What tree is worth the most money?

The most valuable species are black walnut and white and red oak trees that have grown large enough to yield high quality veneer butt logs.

What is stumpage price for timber?

Stumpage is the price a private firm pays for the right to harvest timber from a given land base. It is paid to the current owner of the land. Historically, the price was determined on a basis of the number of trees harvested, or “per stump”.

Do loggers replant trees?

A. Yes. Forest products companies are in the business of growing and harvesting trees, so reforestation is important to them. … And logging companies pay a special fee to fund for replanting and reforestation when they buy the right to harvest a section of timber on state or national forests.

How do I calculate the value of a tree?

The formula is: Tree Value = Base Value x Cross-sectional Area x Species Class x Condition Class x Location Class Base Value is the dollar amount assigned to 1 square inch of a tree’s trunk cross-sectional area and is typically based on the cost of the largest available replacement plant of the same species.

Does anyone buy pine trees?

Companies that buy trees exist. Companies that buy oak trees for lumber are the most common but there are lots of companies that buy pine, walnut, cottonwoods, etc. The easiest way to find a buyer for your trees is to contact your state’s forestry department.

How much can you make per acre of timber?

How Much Money is an Acre of Timber Worth?Pine Timber Values/AcreYearPlantation*Natural2018$1,694$1,7382019$1,566$2,055*Average of all age classes excluding <15 (clearcut)1 more row•jul 14, 2020

Are pine trees a good investment?

Invest for the Long Haul. Pine trees have been genetically enhanced to grow to maturity faster than ever before. … Giving a tree another year or two of growth may allow the tree to move up into another age class, meaning it can be sold at a higher price because it can be used for a product that requires a larger tree.

How much is a load of pine logs worth?

An average trailer load of softwood logs would be around $1,900. Hardwood pulp would be around a thousand. High grade hardwood logs would be much higher….How much is a load of pine logs worth?Species & ProductRecent RangeHardwood Mat Logs$225.00 to $300.00 per MBFMisc. Hardwood Pulpwood$8.00 to $20.00 per ton2 more rows•May 8, 2020

How much is 5 acres of pine trees worth?

“If a landowner plants five acres of pine trees today and manages it the way it should be managed, he or she can expect a return of $25,000-plus — it could be much more than that — when it matures at 35 years of age,” Traugott said. “Timber buyers routinely purchase tracts of five acres or less.”

What is the most valuable timber?

Trees used for veneer purposes are the most valuable. Walnut trees are always one of the most demanded trees in the wood industry. Oaks, maples, cherry, and ashes are also valuable trees. A high quality veneer tree with a large diameter can be worth a lot, but they are rare.

How much does a timber appraisal cost?

An accurate timber volume estimate also acts as a control for harvesting activity. Average fee: $70/hour. Total cost: $10-50/acre.

Can you make money selling timber?

Depending on the type of trees and the market when the timber is sold, you could earn $500 to $2000 per acre (at $1500, you would be looking at $60 per year in income if you were to annualize it over 25 years).