If you’ve ever analyzed a timberland investment, you’ve probably agonized over the discount rate. Should you use 6%? 8%? 10%? The answer matters enormously—a few percentage points can swing a valuation from attractive to unappealing. But here’s the thing: most investors are using discount rates that are far too high, and in doing so, they’re…
Buying timberland can be a smart and sustainable investment opportunity. With proper considerations, it can provide provide a lifetime of satisfaction in the form of healthy financial and recreational opportunities. While timberland is forested land primarily used for growing trees for timber production, income can also be derived from leasing opportunities and more, creating a…
Timberland investment is a growing area of interest among investors looking for diversification and potential returns outside of traditional stocks and bonds. Timberland, which is the land used for timber production, offers investors the opportunity to invest in a tangible asset that has multiple uses beyond simply growing trees. For example, timberland can be used…
Many dream of buying forest land. For most, it is seen as a way to be able to hunt on their own ground or a place to build a cabin or recreational property, but what about forest solely as an investment asset? Is timberland a good investment? While it may come as a surprise to…
Property boundary location and maintenance is a crucial, yet often neglected component of rural property management. While it is often taken for granted, land ownership can be rather vague. Often in larger and more backwoods, rural properties, property lines may be the result of a subdivision that was never surveyed. Other times, the lines may…
If you own or are thinking about owning forest land for yourself, you may have heard the term “woodlot.” A Woodlot is a small parcel of forest land used for timber production and recreation. Typically, the term denotes a smaller parcel–less than 1000 acres–whereas “timberland” might be used to describe larger tracts of forest land….
If anything has become clear, it is that the 2020s is a decade for antifragile investing. Antifragility, as coined by Nassim Taleb in his book “Antifragile: Things That Gain from Disorder,” refers to the tendency for a system or object to get stronger or gain from stressors. It must not only be able to withstand…
Is it a good idea to invest in timberland? While the answer to this question rests solely on one’s risk tolerance, time horizons, and overall investment objectives, timberland and forests are one of the most versatile and robust investments you can own, and it is a great addition to almost any portfolio. Here are the…