"The highest price the property will bring when exposed for sale in the open market by a willing seller, allowing time to find a willing buyer, neither buyer nor seller acting under compulsion, both having full knowledge of all the uses and purposes to which the property is adapted and for which is capable of being used."

This market value definition assumes a degree of knowledge on the part of the buyer and seller. Since this perfect world rarely exists, an estimate of price is generally indicated as a range, rather than a specific number.

In evaluating your property, I use many of the tools that a professional appraiser utilizes: comparable sales, competitive listings, square footage, location, amenities, and the general condition of the property. 

I research data from the reliable information currently available from the local multiple listing service. It does not reflect every property of comparable value for sale now, but does represent a good cross section of the competitive real estate inventory and recent sales.

Please note that while none of the properties are exactly like yours, they do provide a good reference source in a comparative market analysis.

The estimated value given for your property does not mean that the sale of the property could not occur at a higher price. The price you ultimately receive, of course, will depend on your motivation, the motivation of the buyer, and market conditions at the time offers are received.

Once I test the market at a specific price, I make periodic reviews to ensure we remain competitive.