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How Much Do You Save When You Do It Yourself? (Negative $492,600)

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Real Estate Agent with Woodland Management Service / Woodland Real Estate, KW Diversified #1 in Forest Land Mgmt

How Much Do You Save When You Do It Yourself?  (Negative $492,600)forestry in Wisconsin

 

 Unfortunately the people who need to make the most money from their forest are generally the first people to take a small shortcut that will damage their forest and their bank account.

 

Countless examples have proven to us and our clients that it pays many times over to hire a Forester to manage your timber sale.

 

  It really does pay big money to hire a forester.

 

  I recently had a man call me and ask for some advice in selling his timber.

 

  A logger had approached him and offered him $5000 for a "selective thinning" of his forest, cutting everything with a 10 inch stump or larger, and he was concerned about how this would look.

 

foresters in Wisconsin  And he should have been concerned, because what this logger was proposing was not a selective thinning, but rather a severe high-grade, and nearly a clearcut.  This would have destroyed his forest, leaving only the very poorest quality stunted trees to regenerate his future forest.

 

  I walked through the forest and quickly determined that we could get the landowner far more money and only remove the poorest quality trees, leaving the best quality trees to regenerate where these poor quality trees were removed.

 

  We went on to remove 30 percent of the trees in his forest, taking care to maintain proper spacing and only remove poor quality trees along with trees that were at risk of dying in the next 10 years. This left him with a forest where you could hardly tell that anything had been removed.

 

  This allowed the existing trees to have a bit more growing room and allowed a few areas where enough sunlight could reach the forest floor and allow for future trees to take root (these came from the seeds of the superior trees that we left standing).

 

polk timber sale comparison

 

  And after doing the opposite of what this logger did, and leaving this landowner with a significantly improved forest rather than a high graded ruined patch of brush land.  We gained this landowner $51000 for his timber, plus the added forest value, all at a cost of $3400 for our expenses.

 

Wisconsin forestsWhen dealing with your valuable assets, don’t skimp on the professionals whether it be a Realtor, Architect, Attorney, or a Forester.  

 

 

 

 

A good professional is always money well invested!

Comments(13)

Joe Petrowsky
Mortgage Consultant, Right Trac Financial Group, Inc. NMLS # 2709 - Manchester, CT
Your Mortgage Consultant for Life

Good morning Bob. This argument has gone on forever. Penny wise and pound foolish will continue for a long time. You have demonstrated your point very well, as nearly $500,000 is real money.

May 28, 2014 06:51 PM
Pete Xavier
Investments to Luxury - Pacific Palisades, CA
Outstanding Agent Referrals-Nationwide

That has been me in the past, trying to save money, but actually costing myself much more.

May 28, 2014 07:33 PM
Debbie Gartner
The Flooring Girl - White Plains, NY
The Flooring Girl & Blog Stylist -Dynamo Marketers

Excellent demonstration, Bob.  Yes, this is often the case w/ hiring a professional vs doing it yourself.  People often don't get this as they only look at part of the equation - the cost, and neglect the benefit side of the equation.

May 28, 2014 08:40 PM
Anna "Banana" Kruchten
HomeSmart Real Estate - Phoenix, AZ
602-380-4886

Bob this is an eye opener on the subject of foresty for me and I'm quite sure many others. Thank goodness this man listened to your advice and hired you. You are a gift to ActiveRain in teaching us all so much about forestry and managing land. And your point.....when dealing with valuable assests don't skimp on professional advice and service....... priceless. This story speaks volumes.

May 29, 2014 12:48 AM
Grant Schneider
Performance Development Strategies - Armonk, NY
Your Coach Helping You Create Successful Outcomes

Bob - sometimes people do not know that saving money costs money and that applies to almost everything.

May 29, 2014 02:04 AM
Dick Greenberg
New Paradigm Partners LLC - Fort Collins, CO
Northern Colorado Residential Real Estate

Hi Bob - That's a pretty dramatic difference and a great case for using a professional. I'm sure that land owner was extremely happy with the results you got him.

May 29, 2014 02:08 AM
Carla Muss-Jacobs, RETIRED
RETIRED / State License is Inactive - Portland, OR

Just goes to show that people don't know what they don't know.  I had a lender tell my clients to ask for $3,000 is seller contributed closing costs.  Really?!?  I thought I could get them more, and they offered $5,000 based on my advice.  They got the $5,000 . . . and no matter how you slice it, that's $2,000 that didn't have to fork out!

People with forest land would do themselves a favor by contacting you!

May 29, 2014 02:50 AM
Marshall Enterprises
Marshall Enterprises - Saint Michael, MN
Antiques, Lawn Care, and Trashouts

Great advice.  And, I know that you really know your forestry, Bob Crane.  What a positive example!

May 29, 2014 03:03 AM
Les & Sarah Oswald
Realty One Group - Eastvale, CA
Broker, Realtor and Investor

Bob,

What a difference between dealing with a professional and someone who does not know what they are doing. That is a huge difference in price for the lumber taken from this forrest. Thanks for the information.

May 29, 2014 03:06 AM
Joe Jackson
Keller Williams Capital Partners Realty - Columbus, OH
Clintonville and Central Ohio Real Estate Expert

Some people will always try to do it on the cheap, however is usually cost them $$ I mean do your pull your own teeth?

May 29, 2014 04:50 AM
Andrea Bedard
Thompson Company, REALTORS® 240.593.2860 - Silver Spring, MD
Fluent in Real Estate & German, M.A. ABR ASP CIPS

The proof is always in the numbers Bob: $5,000 or $51,000?! Some people need to see such a break down before believing it. You did a great job - not that I needed convincing!

I am so glad that person sought out your expertise.

May 29, 2014 06:29 AM
The Woodland Team of Texas
The Woodland Companies - Austin, TX
Land Specialists

Amazing how much money is lost in these situations, yet most dont believe it.

May 31, 2014 06:53 AM
Nicholas Crane
Woodland Companies - Cadott, WI
Managing & Appraising Forest Land

Thanks for sharing these reports, our clients gain value from of this type of information.

Apr 17, 2020 06:17 PM