Real Estate & Investment
Ready to Buy or Sell?
Buying or selling real estate can be complicated endeavor wrapped full of uncertainty, anxiety & excitement. When the time comes that you need to sell your current land holdings or when the neighbors property comes up for sale allow our knowledge & expertise in land and real estate represent your interests and help you make wise decisions. Real estate brokerage services are offered in partnership with Birchland Realty Inc.
Cost Basis Establishment
The most costly mistake the vast majority of new forestland owners make is not establishing their cost basis once the purchase of their property has closed.
Basis is used to determine net taxable income from sales of property or timber. Forest owners who sell timber do not pay tax based on gross proceeds. They pay tax (generally at the long-term capital gains rate if property is owned long enough) on the net taxable income. Net taxable income equals gross proceeds minus sales expenses and minus the basis in the property or timber. Subtracting basis from gross proceeds is called basis recovery, and it can reduce taxes significantly when timber is harvested.
Landowners working with a consulting forester and CPA can establish their basis and save significantly on their tax liability when timber or property is sold.
Purchasing land as a recreational or investment property is a great way to diversify your investment portfolio, hedge the market and experience the tangible benefits from being able to actively use the property. Not all land is the same, determining value, return on investment and its highest and best use relative to alternate investments can be extremely complicated. Our knowledge in real estate and forest finance provides prospective investors with comprehensive investment performance analysis & local insights so wise land investment decisions can be made.