I would stand firm on "as is". Two bedrooms is not a downside if 2 bedrooms is what the buyer wants. No point in doing any remodelling for somebody else. My brother jumped thru all the hoops that his realtor said he should do and was out a pretty penny. and his house did not sell. things got worse for him (car crash, stroke, etc etc) so he ended up foreclosed. All that stuff he did, all that money, he maybe didn't have to lose the house. Of course the person selling it wants it perfect, but it's not for them. They will find many ways for you to spend your money to make it a better product for them to sell. Resist all of that. When it comes down to offer/counter offer and inspection, then there may be some things you do or knock off the price and new people deal with it.
I don't buy a place for how someone else had it, I buy it for what I want For Me. For the possibilities that I see. House next door sold and new guy ripped out the kitchen that had been redone recently. Painted entire house gray, put panelling up, put in new plants, etc.
to sell or not to sell? only you know if you are ready. forget the logistics, they will be there no matter when. Lots of things can happen, keep your options open. Life is an adventure, this is a biggie! Don't cancel firewood. Frankly, if it is nicely stored, the next folks will be happy it's already there. Plus, you might be using it. I wouldn't stop the normal stuff until I'm OUT because nobody knows the timeline. I used my wood stove night before last because I couldn't stand the chilly night and would not break down and turn on the furnace.
Septic - what Kurt said, it goes by bedrooms as that would be tagged to occupancy. Your board of health can tell you what you have. I had to replace entire system a few years ago and I popped for the larger tanks. Lady from BOH said it would be an easy rubber stamp from them if I add a room, etc., as they were here during the process. Here, a bedroom has a window and a closet. By that definition, I have 2 rooms with doors to the outside that could be bedrooms, but they aren't! The basement room with the sump pump in it has a closet that can be removed if it comes to it. I officially have 2 bedrooms but by strict definition, that could be 5! Whatever you find out on septic isn't info you need to pass along. If new people want 5 bedrooms, they will find out whatever when they go for permits, there is no reason for you to disclose that maybe that will get pricey. Septic isn't defective so wouldn't go on that list. As Is.
When we sold our first house, we got full price offer within a week of listing it. Our realtor had done some preliminary work that had buyer agents lining up to see it. You want that kind of person handling it, there needs to be interest generated. Our big problem was that we had no where to go, so our home shopping was frantic and seemed long and unending until we walked into this place and saw the peacock on the deck, all flayed out looking at us. Good omen.
The idea of starting high price and then periodically cutting it is a bad idea. Normal people like me start wondering "What's wrong with it?" realtors should be bringing you comps that show similar homes in your area and what they sold for. Your house is unique so these are not great guidelines but hew to the basic sq ft, garage, bedrooms, bathroom, lot size.
I wish you the very best on this big step. I agree with a previous poster to stop letting stress grab you. Compared to everything else you've done in life, this is easy, and the start of a big new chapter.