The seller either accepts the offer by signing it, declines the offer by not signing it, or signs a counter-offer and sends that to your agent.

Run a rental report that shows the seller / agent that this property won't cash-flow above your offer price (or won't cash-flow at a rate you find worth the risk and effort).If they refuse your offer, then make a counter offer closer to their asking price but with some incentive present for you, like some amount of seller financing that lessens your out of pocket expense, thereby increasing your return even at the higher price.

After the seller and I agreed on a price for the house I accept their counter offer.

We like the idea but we want to come up with a counter offer that will save us from paying too much in taxes and maybe procure more profit in the end. 

I offered less than half what they had it listed it for and they came back with a counter offer which we went with.

Hello , I submitted my first couple offers last week and one received a counter offer for a duplex in Atlanta.

@Matt Pastier Hey Matt, it was smart that you held your ground and walked away after the 47k counter offer. 

Do we sign the original renewal request for the 5.5% increase or take her up on her counter offer of 9% increase plus carpet?  

That counter offer is the max I'd be willing to go.

The buyer should have asked you to replace it first with a counter offer and then based on your decision, then walk away.