Update

frontend/src/views/DashboardPage.tsx

@@ -299,19 +299,37 @@ function resolveWidgetPlacement(widgets: DashboardWidget[], changed: DashboardWi
   const minSize = widgetMinSize(changed.type);
   const w = clampNumber(changed.w, minSize.w, gridColumns);
   const h = clampNumber(changed.h, minSize.h, 8);
-  let next = {
+  const desiredY = clampNumber(changed.y, 0, 80);
+  const next = {
     ...changed,
     w,
     h,
     x: clampNumber(changed.x, 0, gridColumns - w),
-    y: clampNumber(changed.y, 0, 80),
+    y: desiredY
   };
 
-  while (widgets.some((widget) => widget.id !== next.id && overlaps(widget, next))) {
-    next = { ...next, y: next.y + 1 };
+  const hasCollision = (y: number) => widgets.some((widget) => widget.id !== next.id && overlaps(widget, { ...next, y }));
+
+  if (!hasCollision(desiredY)) {
+    return next;
   }
 
-  return next;
+  const maxExistingRow = Math.max(80, ...widgets.filter((widget) => widget.id !== next.id).map((widget) => widget.y + widget.h + h));
+
+  for (let distance = 1; distance <= maxExistingRow + h; distance += 1) {
+    const yAbove = desiredY - distance;
+    const yBelow = desiredY + distance;
+
+    if (yAbove >= 0 && !hasCollision(yAbove)) {
+      return { ...next, y: yAbove };
+    }
+
+    if (!hasCollision(yBelow)) {
+      return { ...next, y: yBelow };
+    }
+  }
+
+  return { ...next, y: maxExistingRow + h };
 }
 
 function placeWidget(widgets: DashboardWidget[], changed: DashboardWidget) {