In this three-part article, we are discussing how to manage and harvest timber on your property. In the first section, we introduced you to the basics of timberland for sale in Florida and the harvesting process. In this section, we will delve deeper into how to sell your timber. If you are interested in learning more about Florida timberland for sale, our land professionals are here to answer any of your land buying questions.
What Time Should You Sell Timber?
The sale of timber always comes down to the needs of the property owner. Of course, with any financial investment, continuing to manage and develop the timber as it appreciates in value is the most profitable option. With that being said, sometimes landowners need liquid cash so this may not be the most feasible approach. In some cases, waiting too long could mean that you miss out on the ideal window to harvest as well. Ideally, you will harvest when the market is healthy and you have produced a high volume of timber.
How is Timber Valued?
There are many elements that factor into the best time to harvest your timber. Here are three of the main elements to consider when deciding whether or not to harvest:
Volume: One of the primary elements to determining the value of timber is the volume. How much timber is located on your property and how big are the trees? It should come as no surprise that larger acreage properties with more sizable trees (diameter of the trunk) are more profitable.
Type: Perhaps the one factor as important as volume is the type of tree(s) you are harvesting. Some types of trees simply yield more valuable wood. For example, a hardwood (oak, sycamore, eucalyptus) tree is considered more durable than most softwoods (pine, cedar, spruce). Because the quality of the wood is greater, it can be implemented into more ambitious products (furniture, boats, equipment). Although the value of hardwoods is typically greater, softwood trees are more common and take less time to cultivate so that can factor into what type of timber you produce as well.
Maturity: Generally, there is a direct relationship between the age of the tree and its size. In other words, older trees tend to be the larger ones. With that being said, depending on the type of tree, the harvest value can greatly vary depending on its maturity level. An appraiser can help determine the maturity of a tree and the right age to harvest it.
If you are interested in learning more about harvesting timber, please read section three.