Timber Property Investment. Any Tips for a Novice? | TigerDroppings.com

Posted byMessage
OTIS2
LSU Fan
NoLA
Member since Jul 2008
25223 posts
 Online 

Timber Property Investment. Any Tips for a Novice?


Scared of the stock market as a sole investment option so I'm considering timber. Anyone with experience and advice?


This post was edited on 10/8 at 5:22 pm



Back to top
Share:
I Love Bama
Alabama Fan
Alabama
Member since Nov 2007
31777 posts

re: Timber Property Investment. Any Tips for a Novice?


I know a guy in N. Alabama that does it and makes a killing. Let us know what you find out about it.





Back to top
OTIS2
LSU Fan
NoLA
Member since Jul 2008
25223 posts
 Online 

re: Timber Property Investment. Any Tips for a Novice?


Pine timber grows so fast now, the return on investment looks very attractive.





Back to top
TheHiddenFlask
Clemson Fan
The Welsh red light district
Member since Jul 2008
16751 posts

re: Timber Property Investment. Any Tips for a Novice?


The big guys kill it. Lots of efficiencies of scale in the industry.

It's a lot harder for the small guy to make it on the business side of it. You're basically just making a big levered bet on the land, unless you are closely managing the timber.






Back to top
frb1951
Member since Apr 2012
60 posts

re: Timber Property Investment. Any Tips for a Novice?


Land is one of the best investments, if not the best investment there is. Be sure to hire a Forester before you have any timber cut as he can survey your timber and mark the trees you should cut which provide other trees the room to grow, etc.

Foresters generally know which ones to cut and which trees to save. The only other problem you might encounter is finding a reputable logging company. Check references not only on the Forester, but also on the logger.

Many times a good Forester will work with one particular logger as good, honest ones are hard to find. Also, when your timber is being cut, have someone on hand to make a log of each truck that leaves your property so you can follow the sells and make sure you're are getting paid for all of your timber.

You might want to start with LSU's Agricultural Department for the names of some good Foresters.

Good luck!






Back to top
TheHiddenFlask
Clemson Fan
The Welsh red light district
Member since Jul 2008
16751 posts

re: Timber Property Investment. Any Tips for a Novice?


quote:

Land is one of the best investments, if not the best investment there is.


Signed, 2006






Back to top
Meauxjeaux
Memphis Fan
I have 89,230 posts with my alters
Member since Jun 2005
16260 posts

re: Timber Property Investment. Any Tips for a Novice?


And 1906!





Back to top
ThatsAFactJack
Broussard
Member since Sep 2012
367 posts

re: Timber Property Investment. Any Tips for a Novice?


quote:

TheHiddenFlask

Signed, 2006


Flask,
I have zero land investment skills, so this may be a dumb question. I assume with your comment you no longer feel land is a good investment. Why? To me land especially now will always be a good investment, because once all the land is gone, thats it. I think buying land in huge tracts is always a good investment either for timber, or development later on.

TIA



This post was edited on 10/9 at 11:41 am


Back to top
Chad504boy
New Orleans Saints Fan
Five Oh Four
Member since Feb 2005
79285 posts

re: Timber Property Investment. Any Tips for a Novice?


Signed 2013.





Back to top
reb13
Ole Miss Fan
Oxford, MS
Member since May 2010
9765 posts

re: Timber Property Investment. Any Tips for a Novice?


quote:

The big guys kill it. Lots of efficiencies of scale in the industry.


This, my buddy owns about 3000 acres in south georgia. They make money off pine straw as well as the timber. But prices have been low and the cost of extracting the goods can be expensive if you are not a large operation.






Back to top
Bear Is Dead
LSU Fan
Monroe
Member since Nov 2007
3493 posts
 Online 

re: Timber Property Investment. Any Tips for a Novice?


Since the timber market collapse, you can get damn good hardwood land around here for dirt cheap. Some of it goes for as cheap as $700/acre. Meanwhile some farmland is going for $4000/acre. Farmland bubble is gonna pop soon.





Back to top
TigerDog83
LSU Fan
Member since Oct 2005
4113 posts

re: Timber Property Investment. Any Tips for a Novice?


quote:

Since the timber market collapse, you can get damn good hardwood land around here for dirt cheap. Some of it goes for as cheap as $700/acre. Meanwhile some farmland is going for $4000/acre. Farmland bubble is gonna pop soon.


As soon as the farm subsidies start getting cut like they should farm land will probably dip in price. Look at the outrageous prices farm land has gone for in the midwest lately.






Back to top


Back to top




//