Your property has the best chance of selling within its first seven weeks on the market. Studies indicate that the longer a property stays on the market, the less it will ultimately sell for. A property priced 10 % more than its market value is significantly less likely to sell within this window than a property priced close to its actual market value. About three-quarters of condos on the market today are 5-10 % overpriced. Sellers will usually over-price their condos by this margin if, either, they firmly believe the condo is worth more than what the market indicates, or if they want to leave room for negotiation. Either way, if you choose to over-price your condo by this amount, you run the risk of increasing the amount of time your condo spends on the market, and decreasing the amount of money you’ll ultimately receive.

The knowledge and skills of an experienced Realtor will be invaluable when determining an appropriate asking price. It is the job of your Realtor to know the current market and market trends inside and out, and to be aware of other properties currently for sale in your particular area. Based on this range of connections and knowledge, your Realtor should counsel you on how to price your condo properly in order to attract the highest price possible, in the shortest period of time.

Before approaching this process, you should first do some condo work yourself. You’ll need to know the workings of the current market before you even begin to think about setting an asking price. The market will always influence a property’s value, regardless of the state of a condo, or its desirability. Here are the types of market conditions and how they may affect you:

• Seller’s Market: A Seller’s market is considered a "hot" market. This type of market is created when demand is greater than supply—that is, when the number of Buyers exceeds the number of condos on the market. As a result, these condos usually sell very quickly, and there are often multiple offers. Many condos will sell above the asking price.

• Buyer’s Market: A Buyer’s market is a slower market. This type of market occurs when supply is greater than demand, the number of condos exceeding the number of Buyers. Properties are more likely to stay on the market for a longer period of time. Fewer offers will come in, and with less frequency. Prices may even decline during this period. Buyers will have more selection and flexibility in terms of negotiating toward a lower price. Even if your initial offered price is too low, Sellers will be more likely to come back with a counter-offer.

• Balanced Market: In a balanced market, supply equals demand, the number of condos on the market roughly equal to the number of Buyers. When a market is balanced there aren’t any concrete rules guiding whether a Buyer should make an offer at the higher end of his/her range, or the lower end. Prices will be stable, and condos will sell within a reasonable period of time. Buyers will have a decent number of condos to choose from, so Sellers may encounter some competition for offers on their condo, or none at all.

Evaluate your condo in the other main areas that affect market value:

• Location: The proximity of your condo to amenities, such as schools, parks, public transportation, and stores will affect its status on the market. Also, the quality of neighborhood planning, and future plans for development and zoning will influence a condo’s current market value, as well as the ways in which this value might change.

• Property: The age, size, view, layout, and quality of construction of your condo will all affect the property’s market value.

• Comparable Properties: Ask your Realtor to prepare you a general market analysis of your neighborhood, so you can determine a range of value for your property. A market analysis will provide you with a market overview and give you a glimpse at what other similar properties have been selling for in the area.