Their attorney will manage your counter offer.

I submitted an offer and he contacted us within 24 hours with the sellers counter offer.

What will also be your counter offer strategy?

Price has dropped roughly 10k in the last 2 years.My initial offer was 10k less than the current list price w/ 20% down, 1 year home warranty, inspection & financing contingency etc.Seller made a counter offer a few thousand less than listing price with NO home warranty, split closing cost and some other little things like they are keeping the front door but will replace it with a different one.

I searched for about 4 months before I found a great cash flowing property, I had made a few other lower offers at a price that makes sense but didn't even get a counter offer for them so I just kept searching.

In this cases, the seller has a counter-offer out to another buyer that they could of withdrawn since we basically offered list price.

Where I'm in CA, it's just purchase agreements, and communications through the counter offers.

What about counter-offer paperwork?

You could let the sellers accept the offer or counter offer you back  and just create an addendum or some language within the counter offer that states the offer is extended until acceptance herein...

I would make this offer expecting the seller to walk away, but once in a while the seller will accept my crazy offer or make a counter offer.