Keep or sell current residence?

[Taylor Hawkins]

I bought a 3bed/2ba 1k sq ft house in SoCal for 580k two years ago and through appreciation and some rehab (kitchen, landscaping) it's worth 700k.

I've decided to move a few minutes across town to a 1500sq ft for my family and got approved for a 20/80 loan buy it without selling my current house.

Should I sell or keep and rent it?

My mortgage is 2800/mo and I could rent it for 3100. That's only $300/mo NOT factoring expenses. Recent reports say Orange County is the 4th riskiest market with an 8% chance of homes going down in value over the next 2 years.

Am I crazy for considering renting it and not taking the appreciation now? Is there anything else I should be considering? I might be able to remodel the bathrooms or add a deck or something to flip for more appreciation (same floor plan flipped for 720k around the corner from me)