Question about land ?

Question

Ive seen the same ad in my paper week after week month after month someone offering 3 wooded lots about 15 miles from dover downs 10acres, 14 acres and 16 acres all for 100,000 each or all 3 for 225,000 if someone where to buy that and have a lumber company come in and clear it how much could be made ball park figures any how ?

Account Closed · Answer

Jessica, there are investors out there who specialise in timberland.  If those properties have been on the market for months, then I suspect that they are priced too high to be purchased for the trees.

Account Closed · Answer

The only way to know is to hire a timber cruiser to go out and survey the timber.

Value of timber land depends upon how many board feet, what species of trees, the difficulty of getting the logs out, and the demand from the lumber mills.

A lot of mills are shut down. No construction means no demand for lumber.

Jessica Vrabec · Answer

Thanks all for your replies . Very helpful

Jim Wineinger · Answer

There is no way to answer that question without knowing what the lumber compaines in that area are paying for their lumber and the kind of lumber on the properties, such as pine, oak, or other such hard and soft wood.

Some will charge to come clear your land for you if they are not selling the lumber already in stock since cut trees deteriate at a much faster rate than processed wood would.

Then you also have to find out if lumbering is allowed in that area.

Way too many variables here to say anything at all. But if everything is a go then your price would be determined by how many board feet of good lumber that they feel they could get from those properties.

Jim Wineinger · Answer

Yes it is possible, but I have found that the price will vary greatly even from lumber company to lumber company. You will just have to find the right one in your area for you.

Jessica Vrabec · Answer

Thank you for that reply . Just wondering if it was possible .. that price for that many acres isnt bad so i was just thinking. I do know someone who sold the lumber on there property here locally thats why i was asking . if it is all wooded i was thinking make money from that then combine the property and sell it to a developer .