Is selling timber profitable?

Depending on current timber prices, you could make some money. If this is the only reason you’re thinking about cutting timber (but aren’t excited about removing your park-like trees), there are other options that don’t involve cutting. In fact, you can make a healthy side income without cutting your trees at all.

What timber makes most money?

Some of the most recognized hardwoods include maple, oak, ash, beech, sycamore, alder and cherry. Another important factor in product value is tree size. Trees that are taller and larger in diameter will bring higher sale prices because they have more usable volume.

What is my timber worth?

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.

What is 10 acres of pine trees worth?

A mature white pine log can yield close to 500 board feet of lumber, so your total board feet may be as much as 300,000 per acre, or 3 million board feet total on the ten acres established in the question. At a price of $0.60 per board foot, then, the gross yield is about 1.8 million dollars.

How much is an acre of timber worth 2021?

How Much Money Can You Get For An Acre Of Timber? The estimate for a 50-year-old stand is $1,000 to $2,000 per acre, plus the value of the timber on the land. Therefore, to get the most for their funds, potential lumberjacks should expect to spend $1,000 to $2,000 per acre plus the value of the timber.

How much is a 100 year old oak tree worth?

A 100 year old tree would be worth considerably more – having one grown and moved in, plus after-care until it is established, would cost a theoretical maybe $50,000-$100,000. And demand punitive damages as well.

How do I sell my timber?

How to Sell Your Timber
  1. Step 1: Get helP. …
  2. Step 2: Get a plaN. …
  3. Step 3: Get to know your timber. …
  4. Step 4: Set your limits. …
  5. Step 5: Find your buyers. …
  6. Step 6: Start selling. …
  7. Step 7: Put it in writing. …
  8. Step 8: Check in on harvest day.

Are timber prices up or down 2021?

The building commodity is down more than 18% in 2021, headed for the first negative first half since 2015. At their peak on May 7, lumber prices hit an all-time high of $1,670.50 per thousand board feet on a closing basis, which was more than six times higher than their pandemic low in April 2020.

How much is standing timber worth?

Unlike the plantation data, there is a clear trend of increasing stumpage prices over the three-year period for both clearcut and thinning timber sales on natural stands.
…
How Much Money is an Acre of Timber Worth?
Pine Timber Values/Acre
Year Plantation* Natural
2018 $1,694 $1,738
2019 $1,566 $2,055
*Average of all age classes excluding <15 (clearcut)
•
Jul 14, 2020

How much is red oak worth?

The most recent report shows red oak at a median price of $300 per 1,000 board feet, twice the value of the next most valuable species, other oaks, at $150 per 1,000 board feet.

How much 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 is marketable timber?

Merchantable Timber means standing trees which, because of their size and quality, are salable.

Are oak trees worth money?

Out of the approximately 50 varieties of oaks growing in North America, only two oak trees have significant commercial value: white oak and red oak. Due to the short supply of commercial white and red grade sawlogs, other oaks of less value such as black oak are milled and sold for veneer and timber.

How much is a black walnut log worth?

For example, a black walnut that is Grade A veneer at 19 inches diameter will be worth about $700 or $800. If you add another 6 inches of diameter, that price can nearly double.

What percentage do loggers take?

A 50:50 or halves share agreement is the most common type of transaction. If the landowner has more valuable grade logs, the deal is often sweetened so the he receives 60% and the logger 40%. Veneer logs can bring two-thirds to three-fourths share for the landowner to one third to one-fourth for the logger.

How do you value timber land?

Methods of determining value
  1. Cost valuation method. In this method, the buyer will take all of the individual assets of the property into consideration, including the stumpage value of existing timber, to determine the market value. …
  2. Soil expectation value. …
  3. Timber vs. …
  4. Timing. …
  5. Proper land management. …
  6. Types of trees.

How much does a tree logger make?

Logging Workers
Quick Facts: Logging Workers
2020 Median Pay $42,350 per year $20.36 per hour
Typical Entry-Level Education High school diploma or equivalent
Work Experience in a Related Occupation None
On-the-job Training Moderate-term on-the-job training
•
Sep 8, 2021

How much is white oak timber worth?

Appalachian Hardwood Sawtimber Pricing by Species
Species Price – $MBF
Black Oak $185.00
Scarlet Oak $150.00
White Oak $515.00
Chestnut Oak $300.00

Can you make money logging?

Overall, logging companies offered the highest salaries in most cases. In these companies, the average logger salary for fallers was $26.37 per hour or $54,850 per year in 2019. Fallers in sawmills, by contrast, earned a median wage of $17.47 per hour or $36,340 per year in the same period.

Is a logging business profitable?

Profit margins for the supplier average 3 to 5.5 percent. In general, a profit margin reflects the amount of value added to the product during processing and the amount of risk associated with the endeavor. While loggers do not technically add value to the timber they process and deliver, they do turn trees into logs.

How much do mills pay for logs?

If a mill offers to pay you $500 per thousand for red oak grade logs. Start with the $500 and figure in the profit margin you need. Now subtract your cost of harvesting at $100 per thousand bf. The result will be what you would pay per thousand board feet for the standing red oak grade material.