The two sides are already close to agreeing a fee with the midfielder, with City prepared to offer £54 million to land the Belgium international.
The Premier League side's pursuit of the 24-year-old has stretched out into an exhaustive saga that De Bruyne is desperate to see resolved soon.
Allofs says no deal has been struck so far but he says it is unlikely he will be playing anywhere other than City next season.
"There's no agreement with Manchester City," he told reporters. "Right now, Kevin is a Wolfsburg player.
"If they do not meet our expectations, Kevin will remain a Wolfsburg player for this season.
"We are negotiating and we know that Kevin wants to join Manchester City."
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