I strongly predict house prices will fall much much further, as buyers are cautious and reluctant to buy. If you wait, you will find that you'll be selling for far less next year and the year after, and the year after that etc. It makes sense for buyers to wait as it's a buyer's market, but the longer a seller waits? Well, they're just letting their house depreciate more and more.
As pp said, if you don't need to sell, I guess don't. But most sellers I know are starting to realise that this is not something that will recover or get better in a year or two. This is the new normal. The global economy has shifted and high interest rates are here to stay for a long while - many years in fact. They may come down a tad bit, but still be unaffordable to many. I keep seeing on these forums that sellers think it will all get better in a year or two? Not sure what they are basing this on though.
The bottom line is, house prices will have to come down, whether sellers like it or not. It's already reported buyers aren't looking. It's technically cheaper to rent for most people, without the headache of taking care of a house and all the extra expense (insurance, solicitors, fixing things, reno costs spiralling out of control etc).
Smart buyers know this. Desperate buyers may find themselves in negative equity if they buy now and plan on moving within 3-5 years.