Thanks for your all your helpful responses!!

BTW: SJ209 ...MLS for this Property is # 2306215 (Aspendell area) of Bishop, Ca if that helps with additional info.
THANKS!

Location, location, location and what the market will bring. Also, when you are ready to sell, what value would you put on this home?

Based on the 'comps' I found and with limited information, I would offer 263k tops.

A buyer offers with their head but buys with their heart. Do you want it, do you need it, is it "the place"? Then don't worry what you offer as long as you get the house that you want at the value you believe it was worth for you. Unless you are selling that home in the next year, it does not make a difference what you pay for it. The value will be set when you sell it at the time.
House not only have to be looked at as just an investment, it now has to be looked at as your home.
Good luck.

Offer what you are willing to pay for - that's half of what value is. Value is what sellers are willing to take and what buyers are willing to pay.

Get a buyer's agent to represent you. Just like what Lynn 911 said, you could also have some comparable properties that sold in the past few months ran. This will give you two things:

1) how much similar properties are selling for; 2) you'll see a trend - you'll see if properties in that area are still going down and if so, by what percentage or if prices are starting to pick and you can base your offer on this information and still be within the range you are willing to pay for.

If you want I can refer you to a professional buyer's agent in your area - give me a call or email me.

Good luck!

Your buyers agent should be able to pull comp's provide you what other properties have sold for the past 6 months work with you in completing an offer for the benefit of all parties. If you are working direct with listing agent or seller locate a buyers agent working on your behalf.
http://www.lynn911.com http://www.homes-for-sale-dallas.com