Buying First Flip - Offer Question!

[Elizabeth Moore]

Hey all

I have put in an offer for my first piece of property to flip. The initial listing price was $79,900 and I offered $62,000. I walked the property with my contractor twice and his estimate came out to $35,000 with a four week timeline. ARV is approximately $150,000. The seller came back with a counter offer of $69,000 and I countered that at $65,000. The same day, the seller came back and said he had another offer on the table that had just come in. He wanted us to give his best and final by 12 o'clock the next day. So, I give my best and final at $69,000. He then comes back with a $72,000 offer and I stayed with my $69,000 offer as that's what he had countered with me the first time. He then came back to me with an offer of $70,900 and I told my agent that I was staying with $69,000. She heard back from him and he said he was not going to budge off the 70,900. The person who would be funding the 10% down and the closing costs (my business partner) won't budge either off the $69,000. We would be getting a HML. As a newbie (not to real estate but to flipping), I have no other choice but to let this property go. It is just sucks because a lot of work went into trying to get this property. My question to you, so that I can understand from the financial end of this, is whether or not his decision to not play the game with the seller was a correct one and why it would not be the right thing to do by going up $70,900. I know it would affect our profit but I feel it would be a great property to sink my teeth into. What am I missing here?

Thanks!.