ALL YEAR

SELLING TIMBER by DECIDING the BEST MARKET VALUE

Traditionally, in the early spring, timber buyers are making more aggressive moves to purchase stands of timber. Several reasons exist for this tradition. One is that wet winters keep logging equipment out of the woods. Secondly, local and specialty mills around the country, as well as around the world, need a continuous supply of logs for their mills.

If you have a stand of timber that is mature and needs to be sold, stop and consider what the value of this timber is. Most of us, at one time or another, have sold something, such as a home, a boat, or a car. At the time of the sale, we have established a value, waited, and in most instances negotiated a price and eventually sold the item, if and only if the price was right.

But when it comes to a stand of timber, most of us have very little experience, if any, in negotiating a true value or reasonable value for a timber stand. In many situations we had no intention to sell any trees until we had been approached by a buyer and asked, "Do you have any timber to sell?" All of a sudden the trees in our woodlands have a monetary value and the temptation to sell has to be immediate before the buyer has a change of mind. Before you sell, stop and consider your options.

You may think you know what your timber is worth, but very few people understand the potential value of timber until it has been marketed. Marketing timber is much different from simply selling timber. When marketing timber, you do not establish an exact value, but, allow the market forces to establish the price. This is done by having many timber buyers having the opportunity to view, and then bid on the timber. Many times the market value can be much different from the expected value that you or a single buyer may have calculated.

So, how do you determine the true market value of your woodland timber? First would be to involve a professional forester. Take your time, and after being educated in the potential forest management objectives that are available for you as well as the timber stand, decide then what the best suitable forest management alternative would be for you and that woodland. If you decide that selling timber is a option, then, with the assistance of the forester, consider what the potential market value is for the timber in your woodland.

If you do decide to sell your timber, do not rush into the sale. Deciduous hardwoods harvested in Kentucky average nearly eighty years in age and retain their market value for many years after reaching maturity. The best advise is to consider all your options provided by the professional forester, and if the occasion arises, market your timber stand rather than just selling it.