Recreational Forestlands and Commercial Timber Value
Standing timber on privately owned recreational forestlands can hold financial value for the landowner. The value of this timber is typically known as “stumpage” or the amount of money paid to a landowner by a timber producer for the rights to cut and market harvested forest products. The value of the standing timber may influence the overall real estate value, but likely not on a dollar-for-dollar basis.
Private family and non-industrial forestland owners often place timber income objectives below other reasons for owning their lands. Ownership objectives that include wildlife, hunting and game habitat, aesthetics, family legacy and recreation often come ahead of income from harvesting timber.
All of these objectives can influence the overall market value of the property. Steigerwaldt’s real estate appraisers are experts in understanding all of the factors, including the contributory value of timber, that combine to ultimately determine recreational forestland property value.
An accurate and supportable real estate appraisal ahead of buying or selling property is essential to making the best decision when considering transactions. Our team is always ready and willing to help and discuss how an appraisal will fit into your land ownership goals.
Contact Tom Hittle at tom.hittle@steigerwaldt.com with any questions.
