Major timberland transactions in the U.S. average approximately 1 million acres annually between 2023 and 2025, and Timberland Investment Management Organizations account for 55% of acres acquired and 15% of acres sold in 2025, according to Bank of America’s Specialty Asset Management 2026 Insights report.
The U.S. South leads timberland transaction activity in 2025 with more than 560,000 acres traded, representing 56% of total volume. The North and West each account for 22% of total volume.
The report expects increased demand for timber products in 2026 alongside a gradual decrease in interest rates and inflation pressure, and it ties that view to a gradual improvement in housing starts and future timberland value appreciation.
The report says a slowdown in U.S. residential activity contributed to a slight downward adjustment in lumber prices in 2025, and notes combined single-family and multifamily activity was down 0.7% year over year.