Rent

After however many years since I moved in without any increase in rent, it wasn't going to last forever.  And sure enough, my landlord asked if he could raise the rent this weekend.  There was a certain amount of inevitability in this, it was going to happen sooner or later with how expensive housing has become here, but how it went down with my landlord was kind of curious.  He texted to let me know that he was going over the finances and that with the increases in property taxes, insurance, etc that he thought he was about a thousand dollars a month under market on the house.  But that he wanted to keep me as a tenant, so didn't want to arbitrarily send me a rent increase.  So he actually asked for my feedback and what I thought would be fair and that I'd be comfortable paying.  Nice intentions, but jeez talk about a difficult one to answer.  After a bit of back and forth, it was clear he wasn't prepared to give me a figure.  So I thought it was up to me to make the first move, to let the negotiations begin.  So I started with an offer to increase the rent by $200 a month - a quite generous 10% raise on what I'm paying now, but nowhere near the $1000 he had implied (which I certainly had no intention of coming anywhere near).  I thought it was a reasonable lowball offer, and was prepared to pay a little bit more.  And I thought he might come back with a counter-offer and that we could then work on reaching a compromise.  But no, he accepted that figure for the next year.  Had I just been played?  Could I have gone lower with my initial suggestion?  Now I feel I'm overpaying for the rent, even though I was prepared to pay more.  So confused.