Partner and I brought a unit a few years ago thinking we would happily grow in to it over 10 years. 4 years in, after a devastating family loss and neighbour drama we impulsively put it on the market for auction with no real savings (we know we are not the smartest for that).

At the time estimated value was $450k (which would give us a solid deposit for purchasing a $550-$600k house) and advertised for around $410-$440k.

Limited interest at the first home open so we lowered the price to $390-$420k as we were told people expect to pay an extra 5-10% on unit at auction.

After several draining inspections (can anyone say toddler and dogs in the one car haha) the auction is in two days and the agent said that while the interest is there for the property we may we pushing to get to $420/430k and we may need to reconsider our reserve.

Partner and I are now in the position of do we drop our reserve $20k to around $420-$430k to sell and accept we won't be able to buy higher than $500k and be severely limited with options to purchase a new home or pass in and move to private sale and push through more inspections.

Agent has advised us that the market will be flooded next year meaning buyers will have more choice and house prices will drop so we may not even get what we want if we hold off. We are just having a hard time of it because even if we sold for $440k it would be the cheapest unit to sell in our area compared to similar properties (most start at $440k) and we arent seeing the more expensive properties that we would wnat to purchase lowering their prices.

We need advice as we have no appetite for risk but it feels like either choice is a gamble - lower reserve and sell for not enough to rebuy in the range we want or pass in and sit private for lord knows how long but we might make what we need to buy/save up more of a deposit and just pay back the marketing fees

Thank you if you read this far, from some very confused and conflicted people not ready to be adults.