FAQ Is a Timber Appraisal Necessary when Buying & Selling Forestland?

By
Real Estate Agent with Woodland Management Service / Woodland Real Estate, EXP #1 in Forest Land Mgmt

FAQ  Is a Timber Appraisal Necessary when Buying and Selling Forestland?forest

  It depends...

  Do you want to take advantage of tax programs such as the Timber Depletion Allowance?

When buying forestland is essential to know your basis, especially the basis of your timber, this allows for a significant tax break when it comes time to sell any timber from the property, and the value of this basis must be determined as of the day that you become the owner of the property.

forest  Do you want your banker to consider the whole value of the property when considering your mortgage?

Why miss out on the property because your appraiser did not take the time to hire a forester to determine the Total value of the asset?

When buying or selling, the timber can often add up to more than the value of the land.

  Do you want to know what the Real value is of this property in relation to the other properties that will be used as comps?

When determining value the unfamiliar eye will just look for properties of similar acreage and location, but the experienced forestland appraiser will know that Timber Value can make a significant difference in the property’s value.forest

 Do you want to attract more sophisticated buyers?

Many buyers will ask for a timber evaluation before they spend their time looking at the property, this saves them time and resources knowing that they are dealing with a valuable property and a serious seller.

 

 

  When you are ready to sell Forest Land check out the Top 10 List for Selling Your Forestland at a Premium Price, and talk to the professionals at Woodland Management Service.

We can help you to determine the true value of the trees, we can help you to determine the Wildlife Habitat potential and we can help to stage the property to accentuate all of the Forest and Wildlife attributes of the property.

 

Comments (4)

Jan Green
Value Added Service, 602-620-2699 - Scottsdale, AZ
HomeSmart Elite Group, REALTOR®, EcoBroker, GREEN

Very interesting. I had no idea of this type of value, timber differences between one type of timber vs. another.  Learn something new every day!

Jun 29, 2013 02:34 AM
William Feela
WHISPERING PINES REALTY - North Branch, MN
Realtor, Whispering Pines Realty 651-674-5999 No.

I have had several clients do an appraisal before buying.  Helped in their decision.

Jun 29, 2013 10:00 AM
Debbie Reynolds, C21 Platinum Properties
Platinum Properties- (931)771-9070 - Clarksville, TN
The Dedicated Clarksville TN Realtor-(931)320-6730

Bob, I have seen property with large trees and since I don't now what I am seeing I have called in experts to give a quick overview of whether a full assessment is warranted. I have been surprised both ways.

Jun 29, 2013 02:58 PM
The Woodland Team of Texas
The Woodland Companies - Austin, TX
Land Specialists

Hi Bob, I am enjoying going through some of your early blog posts and reposts and getting ready to start doing some posts myself soon.

Feb 21, 2019 08:23 PM

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