Selling My Timber

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  • indyjohn

    PATRIOT
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    78   0   0
    Dec 26, 2010
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    In the trees
    We've known our property was harvested for timber, we just never knew exactly how long ago. Evidence of 10' wide lanes meandering throughout the property, large stumps and discarded tops. Well, we now know it was 9 years ago by a small, family run lumber business. Their Forester sent me a letter asking if we would be interested in an evaluation of the health of the property and the prospect of doing another cutting.

    We know that when done right, pulling mature trees out can actually improve the health of the forest over all. We know you don't have to clear cut every tree in an area to do that. We know that with existing lanes that are usable there will be fewer trees sacrificed getting to the desired ones. We know it costs money to bring the equipment in and hire the manpower to harvest the trees, and they are trying to make money.

    We know the lumber business can be shady. We know that everything is in short supply and going up in price.

    All that, but we don't know what is a fair price to expect for all the above.

    The Forester went out today and walked our 30 acres. He says we have plenty of White Oak, Red Oak, Hickory, and Poplar. He would not take anything smaller than 20" at the base. He believes there is 100 to 110 poles to take. We talked on the phone for an hour, going over his methodology for selecting which trees he paints for cutting, how his company works, and how long from start to finish we should expect the process to take. He estimates cutting would not actually take place this year.

    So, now that I've got you this far, I want to hear from those that have experience with this kind of thing and how much $$ did you end up taking for doing nothing more than signing a document giving permission to a business to cut down and haul off part of your property?
     

    76Too

    Sharpshooter
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    50   0   0
    Dec 9, 2019
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    Just Passing Through
    That makes 3 of us .........
    Maybe you should have started a thread first :wavey:

    In all seriousness...I might be on the list soon here for information too. I mostly just want the lanes on my potential future property and it would save me the work of having to do so myself.

    Any contractual agreement would have to ensure I get something I want out of the deal too.
     

    stocknup

    Expert
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    30   0   0
    Mar 28, 2011
    1,083
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    Monrovia area
    Maybe you should have started a thread first :wavey:

    In all seriousness...I might be on the list soon here for information too. I mostly just want the lanes on my potential future property and it would save me the work of having to do so myself.

    Any contractual agreement would have to ensure I get something I want out of the deal too.
    Perhaps you should have thought about starting a thread also ..............in all seriousness .
     

    rem788

    Marksman
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    0   0   0
    Apr 19, 2009
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    indy west
    I too am interested. I have always heard the best way was to have the timber inventoried by a forester and then have an auction. I was told that you don't always get the best prices dealing with only one buyer. Again, this is just what I have read and been told. I have not sold any timber, yet.
     

    yetti462

    Master
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    5   0   0
    May 18, 2016
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    Unglaciated heaven
    Best way is sell through a consulting forester. They will mark, inventory, sell and monitor the harvest and see to it the terms of the contract are met.

    Timber buyer will say, "don't pay them a fee, I'll make you more, yada, yada.".

    Every sale I've been involved with that the landowner wanted a second opinion on , that was approached by a buyer first, I sold less trees, and after paying me my 8% they still made more than their first offer and had a woods left.

    "Shares...logger gets half is that about the norm?" is a question I get all the time. I ask, "You planted your crop and grew it to maturity, I pick it and get half, sound fair?"

    Net shares is another trick they'll run. Ive seen contracts people have signed that are on net shares. Horrible way to do it. Logger pays his labor and haul bill basically makes 20 cents a board ft of of you then splits the profit of log sales. Bad idea.

    A buyer has choice trees. aka high grading. Only selling 100 trees, but they pick the best in the woods and leave you sh!t.
     

    ghuns

    Grandmaster
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    2   0   0
    Nov 22, 2011
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    I too am interested. I have always heard the best way was to have the timber inventoried by a forester and then have an auction. I was told that you don't always get the best prices dealing with only one buyer. Again, this is just what I have read and been told. I have not sold any timber, yet.

    When I was in high school in the late 80's our ag class took a field trip to a tree auction. The auction was for a single tree in the middle of a small woods in southwestern Michigan. It was a large diameter, stick straight black walnut that would yield a limbless log of over 50'. IIR, it sold for around $30K. Some veneer company from Germany bought it.
     

    patience0830

    .22 magician
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    28   1   0
    Nov 3, 2008
    18,164
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    Not far from the tree
    pm yalls number, I'll call each and every one of you and talk timber.

    Main thing is get paid in full before any tree is cut. 20" tree at stump is on average a 16" tree at breast height (dbh). 16" 2 log tree is 120 bdft. not mature needs to grow. I can relay better on a call.
    My thoughts as well having sold timber and watched my parents and grandparents do so. I won't sell anything smaller than 24" at the base. Bigger would make me happier. My place is probably lying safe until after I die with that standard.
     

    yetti462

    Master
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    5   0   0
    May 18, 2016
    1,655
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    Unglaciated heaven
    Prices are the highest Ive seen in my 22 years in the business. Stumpage prices, value of a tree standing, are high. cream of the crop is the Black Walnut, White Oak, Sugar Maple and Yellow/tulip poplar in that order, hickory is doing good too. Poplar is bringing more than red oak right now. On lumber report, $1.50 a foot on fas for poplar vs. $1.16 on fas red oak. For comparison sake Walnut is $4.13/ft, White oak is $3.44/ft. this is on FAS lumber.
     

    Hkindiana

    Master
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    8   0   0
    Sep 19, 2010
    3,192
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    Southern Hills
    Prices are the highest Ive seen in my 22 years in the business. Stumpage prices, value of a tree standing, are high. cream of the crop is the Black Walnut, White Oak, Sugar Maple and Yellow/tulip poplar in that order, hickory is doing good too. Poplar is bringing more than red oak right now. On lumber report, $1.50 a foot on fas for poplar vs. $1.16 on fas red oak. For comparison sake Walnut is $4.13/ft, White oak is $3.44/ft. this is on FAS lumber.
    What about black cherry? I have a lot of it. I have 165 acres that hasn’t been timbered in 33 years, and might hold out for 35 or 40 years
     
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