There are a lot of factors that go into that but it is a factor that would push a price reduction. Typically owner occupied properties or a "Traditional Sale" will sell for more than a property that is a short sale or bank owned. Also, an end unit is usually more valuable than an interior unit. Motivation of the seller and the condition also play key roles in the valuation as well. If I were making an offer on a property that had similar units listed below their price I would definitely mention it to the seller and take it into account when making the offer.