Whether to sell or not does not have a single answer. It really depends on what your goals are. Was the home primarily intended to be a residence, or an investment?
This is not a good market to "flip" houses in, becuase there is no quick appreciation even with improvements. However, if you bought the home to live in and have maintained it or upgraded it while making payments and building equity, you still stand to gain on it overall.
There is no simple answer as to when the market will have a full recovery. That will vary market by market, and in some cases neighborhood by neighborhood.
I would be more than happy to complete a market analysis for you to show you what your home would likely sell for in the current market. Then you could decide from there if selling now or later will better suit your needs.
Please call me at 501-655-6279 or email me at firstname.lastname@example.org to schedule an appointment. If you are not going to be in town, I can prepare my report and email it to you, and then we can visit over the phone about it. I am happy to work around your needs, but it would be best if I could actually see the home to help me prepare my report.
Thank you for your interest, and I look forward to visiting with you further.