A house I am interested in buying didn't sell at tender. I waited until after the tender to look at it, because the price expectations were really high and it was a pretty basic plain house, but in quite a good street. .  I do know that houses are not selling as easily in this area over the last few months, and several other agents have said that some sellers had been lowering their expectations. The house did have one offer at tender, and it was accepted, but the sale fell through at the last minute on the day it was supposed to go unconditional.  They are legitimate sellers because they are moving to another city. It therefore became 'Sale by Negotiation' and it has been on the market for 2 months.

I put in an offer today expecting to negotiate. But I then got contacted by the agent to say that the vendor had asked they hold the offer, in case any other interested parties would put in an offer. They then later contacted me to say that one other interested party wants to put in an offer with mine, making it a 'multi offer' and I will have to put my best offer forward. I expected this sort of thing to happen. The terms of the multi offer also say that the vendor  will either accept or  negotiate with only one of the two potential purchasers.  I think under this situation, I don't have much of a chance, because even though it will be largely unconditional offer, and the price is within the estimations and advice from people is that it is very fair based on what other properties have sold for, some people will just put in a crazy price to win it in this type of situation. I have lost multiple tenders before and it is a very bad process for buyers, as it often goes for well north of even the highest estimates.  I was wondering if anyone else has been in this station and what some tactics are?

I was thinking of withdrawing my offer, so it was no longer a multi offer, and telling the agent I would be prepared to resubmit the offer and negotiate after they have finished negotiating with the other party. But it is likely that I would miss out on that, especially as the agent already knows what I have offered.  Or just putting in a higher offer before the deadline time up to the max I would pay,  and sitting back.