Thursday, August 18, 2016

Strong forestry market in Mälardalen – Eskilstuna Courier

The low interest rate is a cause of forest  price continues to rise in Mälardalen, according  LRF Konsult.

 The low interest rate is a cause of forest price continues to rise in Mälardalen, according LRF Konsult.
 

Photo:

                     
                    

Hasse Holmberg / TT

            

 
 
 
 Timber prices continue to increase in Mälardalen while it stagnated in many other parts of the country. One reason is that forest exploitation value increases the closer the cities located.

Facts

Forest Prize first half of 2016

The Empire: 387 SEK / cubic meters (-0.5 percent).

Southern Sweden: 586 SEK / cubic meters (3.5 per cent)

Central Sweden: 392 SEK / cubic meters (-3.6 percent)

Northern Sweden: 243 SEK / cubic meters (-2.4 percent)

Source: LRF Konsult.

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Last year, the price of forest land in Sweden throughout the country. This year, the price rise stalled.

LRF Konsult, Sweden’s largest real estate forest real estate, has summed up the sales for the first half of 2016. For the country as a whole, the average price of forest land 387 per cubic meters, equivalent to a decline of 0.5 percent.

The price difference between the north and south continued to increase. In southern Sweden, forest prices increased by 3.5 per cent to 586 per cubic meters and thereby re-listed an all time high. In northern Sweden, the price has fallen by 2.4 per cent to 243 per cubic meters.

In central Sweden, the price the first half declined by 3.6 per cent to 392 per cubic meters. However, there are major differences in the middle of Sweden.

– away towards the Norwegian border and Värmland is very high range. There is a little lower prices. Taking Mälardalen has a really strong market, says Markus Helin, head broker at LRF Konsult.

He says that forest exploitation value often increases the closer the cities they come from. Forest market has been strong for a long time in Mälardalen, according to Markus Helin.

– It is simply low interest rates today, creating incentives to invest in various assets, such as forests. We have a growth in the forest that is constant. It grows as much every year, regardless of the level of interest rates is.

Although the notifications to LRF Konsult forest owners’ school has increased, especially in metropolitan areas.

– There seems to be an increased interest in investing in the forest, says Markus Helin who also believes that interest will continue to increase.

Thomas Nordén’s estate at LRF Konsult’s office in Katrineholm. He also points out that there are large local variations in forest price.

He argues that evolution has been favorable in Eskilstuna neighborhood where the price has risen by a few percent to about 550 per cubic meters.

The typical forest the buyer is a person who already owns forest land. Nearby cities will also purchaser based to some extent.

– There are those who have always dreamed of having a farm, he says.

One reason may be that you yourself want to engage in forestry on a smaller scale. The biggest reason that people buy the forest, according to Thomas Nordén that it is regarded as a safe investment.

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