Liverpool hero Jason McAteer believes Jude Bellingham wants a move to Anfield.
The Reds have pulled out of the running for the Borussia Dortmund due to his valuation.
McAteer told beIN SPORTS: "I think he [Bellingham] wants to go to Liverpool. I think that's his preferred club.
"But the size of the surgery that's needed, you can't warrant spending that much money. Liverpool work on a sustainable model that's worked for the last five years."
McAteer, 51, who made 139 appearances for the Reds between 1995 and 1999, added: "I don't think he was never going to Liverpool. I think it was all about timing.
"If you look at the Cody Gakpo deal, they took [signed] him for a relatively cheap price. If they'd have hung on then his price would have gone up and they'd have to pay more. Then you're fighting in a room with clubs that can throw money at it. It's about timing."