Well, the first question is whether or not the condition has been taken into consideration already in the listing price or is it priced as if it needs no updating. But beyond that this is where your buyer agent can really help you out. He or she should be able to do a market analysis of the property comparing it to similar homes in the area and making adjustments for condition. Your buyer agent is there to help assess all of this and help you decide what to offer.
Good luck with your home search!