If you're the buyer, you shouldn't be the first to state your price. Why should you? You're trying to get a quote for the work you need done.
When people ask, "what's your budget?" it's the same when a car dealer asks you, "how much are you looking to spend?" Whenever somebody asks me how much I'm looking to spend, I always reply, little as possible.
I would much rather a web designer be upfront with their pricing. If they've done a lot of work in the past, then they should know how much they can get. If web designer A typically gets $500 per project and potential client says their budget is $1,000... how many of you will say, you will do it for $500 when the client is willing to pay more?
I know how much my time is worth. When people come to me asking for work, I am upfront with my pricing. I tell them how much I charge per hour and how much the project will cost. If they can't afford that, then I might ask them what their budget is. If the project allows for it, I tell them what they can get for their price.