I'm assuming that you submitted your offer, but they hadn't accepted it yet, and meanwhile, more have come in. If that's the case, they're handling it properly for their client, the seller. But if they had actually accepted your offer, its time for a consult with a good real estate attorney to see if you can enforce it. You'll be bound by the terms of your "contract", which is the Purchase and Sale Agreement.
Ultradog is right, if you're in the business of buying and selling houses. But if you're buying one for your personal use, you are allowed (and in fact encouraged) to fall in love with it. Especially if your wife is in love with it, under the "happy wife, happy life" principle.
Now, you just need to decide how much you're willing to go. Give 'em your best number, and don't be a piker, if its what you really want. Remember, $10,000 more on 30 years at 4% is only $47.58 a month, and you'll kick yourself for 30 years if its what you really want but you let it slip away for a few bucks that you could afford to pay anyhow.
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Today's Featured Article - Restoration Story: Fordson Major - by Anthony West. George bought his Fordson Major from a an implement sale about 18 years ago for £200.00 (UK). There is no known history regarding its origins or what service it had done, but the following work was undertaken alone to bring it up to show standard. From the engine number, it was found that this Major was produced late 1946. It was almost complete but had various parts that would definitely need replacing.
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