Post by
ElectricFuneral on Sep 29, 2015 10:35am
Techtarget,
Learning the way to evaluate the present value or the future value of a woodland is a real art, not something you can check on the web or in books. To evaluate it, you need at least 20 different data before being sure if it's a good deal, an excellent or a bad one. For example; Last time it has been cut ( best to be bought right after it has been or after 15 years or 35, already 3 different approach), is it on a main road, what type of soil (humid/muddy, rock, sand), is it flat or with hills, on a main road with electricity or in a trail, constructable or not, what essences of wood, how many Cords of wood per acres you will be buying and how many will there be in 15 years, the future demand in the area you're buying, if there's a road crossing your lots, is there water on it (creek, river or lake), etc..... I guess you get the point??? Has you can see, it's a real art that you can only learn in the field, not with theories in books. You got to walk it and be aware of what price an acre is worth after you addition all the data. And there are more data to consider.... So, better have MicMac blood like your vein like I do or be in the wood industry like a sawmill owner or a wood cutter. The best person to evaluate a woodlot is a well advise investor that knows the right price to pay and that has some visionary of how the demand in certain region will be in 15/20 years. If the demand grown fast in a region, you'll make cash twice. First, by taking out the woods, then, by selling parcels for construction of houses, etc... Hope that this 2 minutes free vision will help stock markets traders to see that if they learn the way to deal with woodlots parcels, they won't never lose money in their life. Wanna know why? Real simple. If, in 5 years, there is a major war. Let's say, WW3, that the Canadian money fall to 0,25 or 0,21 US, that 3 billions human try to hide or survive, well, with a piece of land of your own, you'll have the food, the water and the wood to survive. Money would be useless, but not your land. A woodlot can only protect your A$$ in any case. Peace time or War time.