Negative Cash Flow Property - Hold or Sell?

[Danielle Wolter]

So, a couple years ago I bought a condo in downtown San Diego that we planned to live in as out primary home for at least 5 years. Fast forward a couple years, and I've bought a SFR in San Diego and am renting out the condo. Unfortunately, I've got a pretty hefty negative cash flow on that property. However, San Diego tends to be a great market for appreciation so I wonder if I should just keep holding it for the long term. I own one other property in San Diego that has had great appreciation and does cash flow. I am torn between being patient and dumping this place. If I sold at this point, I would likely (hopefully) break even and be able to pull out my original down payment after fees. I have been looking to do some OOS investing, and while I do have cash for this, the extra cash could be helpful.

But my ultimate goal in real estate is to own great properties that both cash flow decently and have some appreciation. 

For someone looking to get started in OOS investing in a more affordable area, what would you recommend? Keep in mind I don't need the money from this condo to fund my OOS investing. I also have a well paying job that enables me to easily cover the negative cash flow and still sock away more money for future investments. 

Thanks for any insight!