Maximum offer worksheet for a land parcel

A printable worksheet that takes one parcel from comparable sales to a walk-away price, with a column for where each number came from.

One page per parcel: comparable sales at the top, a walk-away price at the bottom. Every line has a column for where its number came from and whether it was checked or guessed, so a filled-in copy shows its evidence gaps before any offer goes out. A worked example with made-up numbers follows the blank sheet.

Using the sheet

  1. Write your walk-away conditions before you look at any numbers.
  2. Fill in the comparable sales and the value range from sales you have confirmed.
  3. Fill in the cost lines from quotes, bills and records. Mark any number you estimated or guessed.
  4. Set your margin as three separate numbers.
  5. Do the arithmetic and round down.
  6. Run the evidence check. If it fails, go back before you offer.

Walk-away conditions, written first

These are the facts that end the deal at any price. Examples: legal access not confirmed in writing, a parcel mostly in a floodway, and a lien on the title that the seller cannot clear.

  • Condition: ______________________________
  • Condition: ______________________________
  • Condition: ______________________________

Comparable sales

Parcel name or number:

Acres (from the deed or survey):

SaleRecorded datePriceAcresPrice per acreConfirmed with (name, role)Adjustments and their sourceAdjusted price per acreSuperior, similar or inferior
1
2
3
4
5

Rejected sales, and why:

Value at exit

ItemAmountWhy
Low end of the range
High end of the range
The value used in the arithmetic

Costs

In the source column write one of: quote, bill, record, estimate or guess.

LineAmountSourceWhat would confirm it
Closing and title to buy
Recording fees
Survey
Back taxes owed by the seller, paid by the buyer
Tax due if the land leaves a current-use program
Property tax while held (months times monthly amount)
Insurance while held
Loan interest while held
Marketing
Commission on sale
Closing costs on sale
Other
Total costs

Margin, as three numbers

LineAmountBasis
Profit
Risk buffer, one line per named risk
Risk buffer, second risk
Error buffer
Total margin

The arithmetic

StepAmount
Value at exit
Minus total costs
Minus total margin
Maximum allowable offer
Rounded down, the walk-away price
Opening offer, below the walk-away

Evidence check before an offer

  • Every comparable sale was confirmed with someone who was part of it.
  • Every rejected sale has a written reason.
  • The value used is below the top of the range, or a written reason says why it is at the top.
  • Every cost has a source written next to it.
  • No more than two cost or margin lines say guess.
  • Each risk buffer names the one risk it covers and the test that would clear it.
  • The margin has not changed to make the price fit.

Worked example

Invented numbers: the parcel is 10 acres zoned for one house, with county road frontage and no power at the road.

Walk-away conditions: legal access not confirmed; more than 2 acres in the floodway; any lien the seller cannot clear before closing.

SalePriceAcresPer acreConfirmed withAdjustmentAdjusted per acreCompared
A$66,00012$5,500Listing agentHas power, minus $9,000 (utility quote)$4,750Similar
B$52,0008$6,500BuyerNone$6,500Superior, smaller
C$49,50011$4,500SellerNone$4,500Inferior, easement access

Rejected: a 40-acre sale (size) and a 10-acre sale from a father to his son (not a market sale).

Value at exit: range $45,000 to $55,000; value used $47,500, from sale A.

LineAmountSource
Closing and title to buy$1,200Quote
Survey$2,500Quote
Back taxes owed by the seller$800Record
Property tax, 9 months at $50$450Bill
Commission and closing costs on sale, 8 percent$3,800Guess
Total costs$8,750
Profit$8,000
Risk buffer, septic not yet tested$2,000Estimate
Error buffer, 5 percent of value$2,375
Total margin$12,375
Maximum allowable offer$26,375$47,500 minus $8,750 minus $12,375
Walk-away price$26,000Rounded down

Evidence check: one line says guess (the selling costs), so the sheet passes. The septic test is the next thing to order. If it passes, the $2,000 risk buffer drops out and the maximum rises to $28,375.

Where the rules in this sheet come from

Talk through an offer or a sale

If you own a land clearing, site prep, grading, excavation or surveying company and may sell within five years, the owner assessment shows what a buyer looks at. It takes about 3 minutes, and it asks for your email before it shows what it found.