According to Stansberry Research, one of the best investments you could make is buying timberland. In an interview with Dr. Steve Sjuggerud, the editor of True Wealth, the think tank outlines several reasons why timberland is such a great investment.
What Dr. Steve Sjuggerud Says
After studying timberland investing for hundreds of hours, Dr. Sjuggerud and says that he has personally invested in a significant amount of timberland.
Why?
“First of all, trees grow year in and year out. Trees in good growing regions in the U.S. grow at 6 percent to 8 percent per year. They grow through recessions. They grow through wars. They grow through stock and real estate crashes. They grow through everything. They give you built-in investment growth that isn’t guaranteed with a stock,” says Dr. Sjuggerud.
While nobody can predict what will happen if you invest in timberland, Dr. Sjuggerud says that he has found that it works for him.
“What happens when the market is slumping? When you can’t get the price you need to make the business profitable?… The answer can be summed up in five words: ‘Bank it on the stump.’
In the industry, it’s a phrase that means if conditions aren’t right for harvesting your crop, you just keep letting it grow. You keep the profits on the stump and wait for a more profitable time to sell your timber – most likely, when timber prices are in your favor,” says Dr. Sjuggerud.
He doesn’t say that it’s without risk, though. As with any investment property, buying timberland isn’t profitable for everyone.
Are You Looking for Timberland in North Florida?
If you are interested in buying timberland in North Florida, we can help. We have a huge variety of North Florida timber tracts for sale.
Call us at 386-243-0124 or contact us online to let us know what size property you need. We’ll begin searching for the perfect timber tract for you right away.
