Most landowners who own forested land have asked themselves some version of the same question: what makes my timber valuable? They walk through their woods, see mature trees in every direction, and assume they’re sitting on something significant. Sometimes they are. But without understanding the underlying factors that determine timber value, it’s nearly impossible to…
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…
If you are preparing for a timber sale or harvest, marking timber can be one of the most important steps of the process. It is marking timber that determines what is cut and what is retained. It is the determinant of the silviculture of the harvest and thus the determinant of the financial return of…
Eastern Cottonwood, Populus deltoides, is an iconic tree throughout much of the central United States. It is both one of the largest of the eastern hardwoods and also the fastest growing commercial species in North America. Typically, those are both incredibly desirable traits of a species from a timber investment perspective, but is it a…
Birch trees are probably the most ubiquitous tree in the world. A circumpolar species, birch trees grow all around the northern hemisphere, and its characteristic white, papery bark makes it readily identifiable, even to children. In fact, for many, it is the first tree they learn to identify. No question, birch trees have a special…
Black cherry (Prunus serotina) is one of the most valuable species of timber in north America. With a beautiful grain and stunning reddish-brown color, its wood is cherished material for high-end furniture, flooring, and other decorative surfaces. But how much are black cherry trees worth? Typically, Standing black cherry trees can fetch the owner between…
Black Walnut trees (Juglans nigra) are well-known as one of the most valuable species in North America. With a natural, dark brown heartwood, these trees are highly valued for the depth and color they can give high-end pieces of furniture and wood work. As such, a common question for timberland owners and those with a…
Maple is perhaps the most iconic species of tree in the forests of the northern United States and Canada. It’s honey-blonde wood and light grain make it extremely sought after–and valuable. But how much, exactly, are maple trees worth? While a multitude of factors influence the numbers significantly, a mature maple tree can fetch prices…
Oak is both one of the most prolific and most valuable species of tree in North America–and for good reason. Oak is a dense hardwood with great structure and a beautiful grain used for a wide variety of wood products, including furniture, cabinetry, and veneer. With such a gorgeous and versatile wood, how much are…
By far, the most important decision any timberland owner can make is whether to harvest the timber on their property. There is no other decision that will have a greater affect on the present and future of their forest and the returns (financial, recreational, or otherwise) it will provide. Unfortunately, there is no easy answer…