Platform · Glossary
PriceDNA Estimate™.
The PriceDNA Estimate™ is the purchase price a selected investor goal can support for a specific property under the current assumptions.
Goal-convergent valuation is the method. The goal-convergent price is the result. PriceDNA reports that result as the PriceDNA Estimate™.
It answers a question other valuation approaches do not necessarily answer: what purchase price does my selected goal support under these assumptions?
The PriceDNA Estimate™ is not a market estimate and is not an appraisal.
What it actually represents
PriceDNA starts with the investor’s selected goal — such as cash-on-cash return, DSCR, or cash velocity — together with the property’s modeled income, expenses, financing, and other assumptions.
Goal-convergent valuation then works backward to identify the purchase price supported by those inputs.
For a specific property and selected goal, that resulting goal-convergent price is reported as the PriceDNA Estimate™.
If the goal or assumptions change, the PriceDNA Estimate™ can change as well.
The three valuation lenses
The PriceDNA Estimate™ is best understood as the PriceDNA implementation of goal-convergent valuation, alongside other ways investors may consider value.
| Lens | Starting point | Main question |
|---|---|---|
| Comparative context | Similar property sales and other market evidence | What does outside market evidence suggest? |
| Income-based context | Property income | What value does the income appear to support? |
| Goal-convergent valuation | Investor goal and deal assumptions | What price supports my goal? |
PriceDNA’s core output in the third lens is the PriceDNA Estimate™ — the goal-convergent price supported by the selected goal under the current assumptions.
The other lenses can still provide useful context. They answer different questions.
How to use it
Compare the PriceDNA Estimate™ with the asking price to understand the gap between what the seller is asking and what your selected goal can support under the assumptions used.
A gap does not tell you what the property is worth or what you should offer. It shows whether the current asking price and your modeled goal converge under your numbers.
What it is not
The PriceDNA Estimate™ is not a market estimate. A market estimate, comp-based AVM, broker opinion, or other market-oriented estimate attempts to describe what outside market evidence may support.
The PriceDNA Estimate™ answers a different question: what purchase price does your selected goal support under the current assumptions?
The PriceDNA Estimate™ is also not an appraisal. It is not an opinion of market value developed by a licensed appraiser under the Uniform Standards of Professional Appraisal Practice, and it should not be relied upon for lending, tax, insurance, or legal purposes.
It does not predict what a property will sell for and does not tell an investor whether to buy a property.