Sell the house as is (repairs needed [flooring, AC, closet/drywall work, kitchen/bath refresh would be nice])2.

It's net income return (not gross), and, you still haven't mentioned how many $ of your own funds you used in the first place (not that's it's our business if you don't want to; just refresh your knowledge the CoC return definition from my earlier post). 

Any renovations will probably be limited strictly to cosmetic refreshes. 

Paint is very inexpensive and can provide a dramatic refresh.

It’s refreshing to hear a positive outlook for such narrow margins.

I have ran the numbers through the rental property calculator in BiggerPockets calculator and and investment looks good.The purpose for this is try to come up with a more accurate rehab/refresh number to keep as an investment property.

It will let them know you are serious and will refresh them on the lease. 

Long story short I believe in small government to keep us safe however we all need to accept individual responsibility and I want them out of my life as much as possible, taxes included.As a more personal note while we may not agree on taxes or certain social issues you do seem like a caring and responsible landlord which is sometimes refreshing based on some posts I see and I do appreciate your insight.   

Refreshing to speak to someone who is also newer but is all in and already making big moves—congrats on the first AND second property!

Most people only talk about successes so its refreshing to hear some not so great deals, though it sounds like this one might start making you some money soon!