What ‘Timber Deferral’ Really Means When Buying Oregon Land
Timber Deferral and Partial Forestland Special Assessment
What Buyers Should Know
You're considering purchasing a property in Clackamas County that has a partial timber deferral or forestland special assessment. Here's a quick overview of what that means, why it matters, and what to consider moving forward.
What is a Timber Deferral?
Timber deferral (or forestland special assessment) is a tax program that allows forested land to be taxed at a lower assessed value—as long as it’s being maintained for the purpose of growing and harvesting timber.
The deferral is meant to support long-term forest management. It’s not about harvesting trees right away. In fact, many owners participate in this program simply to keep their land forested and in good health for future use.
Key Points for Buyers
Reduced Property Taxes: Land in timber deferral is taxed at a lower rate than market value.
Covenants of Use: To maintain the deferral, the land must be used primarily to grow and manage timber.
Penalties for Removal: If you change the use of the land (e.g., build, clear, graze), the county may remove the deferral and charge back taxes up to 5 years.
Does Timber Need to Be Actively Harvested?
No. You are not required to actively harvest timber. The program supports both:
Maintaining a forested property with the intent to grow timber.
Sustainable logging, if you choose to harvest.
As long as you’re managing the land to meet Oregon’s forestry standards—like keeping it stocked with a minimum number of trees per acre—you’re generally in compliance.
What’s "Partial Timber Deferral"?
This means only part of the property is receiving the forestland tax benefit. Other portions may be taxed at standard residential or rural rates.
You can request a map from the county assessor showing which areas are deferred.
What If I Don’t Want to Maintain Timber?
You’re not required to keep the deferral. But opting out or changing the land’s use could trigger a significant tax bill for past benefits received.
Always talk to the county assessor’s office if you’re thinking about:
Clearing trees
Building structures
Using the land for other purposes (agriculture, personal recreation, etc.)
Buying Tips
Request documentation: Ask for any existing forest management plans or prior harvest activity.
Talk to the county: Contact Clackamas County Assessment & Taxation for the exact rules and tax implications.
Consider your plans: If you want to keep the land forested, the deferral is a great benefit. If not, prepare for a tax shift.
Final Note
This summary is not legal advice. Every property and situation is different, so we strongly recommend speaking with a forest tax specialist or attorney if you’re unsure. We’re happy to connect you with the right resources if you need them—just ask!
Kim Campbell & Francisco Salgado
Thinking About Buying Rural Property?
Whether you're eyeing a wooded retreat, potential timber investment, or just want a little extra space to breathe—understanding land use and tax deferrals like this one is key. We’ve helped many buyers navigate the nuances of rural real estate in Oregon, from timber zoning to farm deferrals and everything in between.
Give us a call or text at 503-951-8547. We're here to help you make smart, confident moves—especially when the details get technical.
