Very cool. Love the modern fantasy art style.
I would go with basic sprites and not animated if I were you. This gives you more time to create more characters, creatures, & dungeons. You can always add animations later for polish if you have time but I wouldn't get lost in the details too early.
I think in order to complete something as a solo dev you have to be super efficient with your time, and sometimes that means figuring out how to make thing look as good as you can on a faster, smaller and more refined character/monster/level creation pipeline.
You may want to also design some characters with re-use in mind as well to save on time. For example, a guard with a helmet you can re-use a lot. Or you could create the story so that you keep returning to this town, to talk to the characters, in this way you could re-use the characters, or have the same characters show up in different places, or just re-use the sprites to represent different characters. Anyways just some ideas.
I'd love to see this town filled out with a few more interesting characters, dialogues. I love that lonely lady that's happy you just walked into her house, i'd be cool if she had some of her back story in the dialogue.
Anyways. Great stuff. Keep it up. :)