Advise on my VA assumable loans

[Sang Yi]

Just needing some advise from smarter, and more experienced folks on this site.

I'm looking to downsize due to my parents moving back to CA.

I've purchased a SFH Feb 2022 using VA loan for $405k, putting 20% down. I spent 25k to put a full bathroom/closet and spent 12k on new HVAC/furnace on this 2006 built home that failed recently. I bought at the peak and planning to either rent or sell in Feb 2023.

I'm currently looking to buy a condo 2bed/2bath without needing to sell first. I have a pre approval on hand but with higher interest rates and market prices still high for which I see price decrease but nothing pre-pandemic level. Using VA loan No money down. Current rate at 6.875. I'm 100% disabled so no funding fees.

Current home is built 2006. 2200 plus sqft. I don't need this much space. I have 30yr fixed at 3.50 interest rate with about 321k balance left.

I'm looking at options like VA assumable loans if I can secure a condo. I think the VA assumable is for anyone to assume loan. No closing costs for buyers..buyers pay one time va funding fee of 0.5% of mortgage. I have to get my servicer to provide us letter of non-liability of some sort. Only thing for us seller is that if a non veteran takes over that our benefits are tied up to that amount. My Mortgage/Tax/Insurance are $1640/monthly. We are not distressed to sell. We can also rent it out but that seems scary. If I do want to sell, I don't want to lose money.. I bought at 405k and put in total 25k+12k but I don't think I can sell higher. With high interest rates and paying Commissions on agents...I have to list it at $450k but I doubt it will appraise that high.

Need advise on what I should do. Get the condo first which I'm qualified to do so now then rent it out or sell? I would like to get most of my down payment and other costs back.