Published October 18, 2026 · Doorcount
The asking price is the seller's opening number. An offer band is yours: a range of prices, worked out from conservative numbers, where the deal still works for you. Comparing the two tells you how far apart you are before you negotiate.
Asking price: what it is
Sellers and brokers usually price from their own numbers: full occupancy, today's tax bill, and expenses that may leave out management or reserves. The asking price is a starting point, not a measure of what the income supports.
Offer band: three prices
- Open: where you start. Your strongest numbers-based opening offer.
- Target: the price you would be comfortable paying on conservative numbers.
- Walk-away: the highest price where the conservative numbers still work. Above it, you pass.
How the band is built
- Build a conservative NOI: current rents, a vacancy allowance, taxes re-assessed at the purchase price, and every operating cost. See how to underwrite a fourplex conservatively.
- Pick three cap rates, from higher (open) to lower (walk-away).
- Price = NOI ÷ cap rate. Round, then check that each price still clears your loan's DSCR test.
Example from the sample report (fictional property)
In the Quick Check sample, an invented 48-unit property, our conservative NOI is $233,530 against the seller's $288,000. At the $3,600,000 asking price, that is a 6.49% cap rate on our numbers.
| Band | Price | Cap on our NOI | vs. ask |
|---|---|---|---|
| Asking | $3,600,000 | 6.49% | – |
| Open | $3,010,000 | 7.75% | −16.4% |
| Target | $3,220,000 | 7.25% | −10.6% |
| Walk-away | $3,460,000 | 6.75% | −3.9% |
The gap comes mostly from re-assessed taxes and realistic vacancy. All of these figures are invented for illustration.
Using the band in a negotiation
- Open with documented reasons: the seller's own operating statement, the tax re-assessment, the vacancy allowance.
- Trade price for terms. A higher price can make sense only if the terms improve, for example seller financing with an extension option.
- Respect the walk-away number. If the seller will not come inside the band, the conservative numbers say pass.
What an offer band is not
It is not an appraisal or a valuation, and it is not a recommendation to make an offer. It shows where conservative numbers still work. Your lender, appraiser, inspector and attorney each check different things.
Please read. Our underwriting is conservative. Always underwrite from multiple sources before you decide. Doorcount takes no responsibility for your decisions and isn't responsible for accuracy in individual markets.