Standing timber is primarily priced according to the amount of board footage able to be harvested from the trees, according to Timber Works logging company. A board foot is 144 cubic inches. Price also varies by species, diameter, length and quality of the logs.
Timber to be harvested is referred to as stumpage. Each state in the U.S. issues an annual stumpage report that lists the average range of prices per 1,000 board feet for different grades of common tree species in the state. The stumpage value for prime grade logs is higher than for common logs. High grade logs have no defects, such as knots or decay, and feature long trunk lengths without branches. One tree produces more than one grade of lumber.
The value of timber is also dependent on local, state and regional market conditions. Selling when there is high demand, such as during winter, increases the price. Large sales in accessible sites tend to fetch higher prices because the timber is cheap to harvest in bulk and easy to remove. State and local laws may impact how much timber may be harvested and how it may be harvested. State service foresters or private forestry consultants help sellers navigate the timber valuation and marketplace process.