It ‘might’ improve in the distant future but with California politics in play, it’s not a bet I’d make.

So, is it worth it to go with someone more local if they don't offer as good of service as the distant company does?

If you want appreciation and cash flow is a distant second, then I agree - follow the tram.  

Long distant landlording is not for the meek.

If and when Freehold becomes available for all foreigners on all developments and/or the lease period is extended to 99 or 199 or 999 years as will definately happen in the not too distant future then it clearly states in the contract that each owner can move to the new situation at no extra cost except the additional registration costs if they so desire.

Even if there are no parents and children, there are often nieces, nephews, aunt and uncles, cousins and other further distant relatives, whether by blood or marriage. 

If they are distant away from me, then, I would consider property manager for both the ease of managing them and anything else. 

Plans exist for significant road construction that will be changing the commute time in the not too distant future so depending on your aversion to short-term risk we could expand a little betting on the road construction.We have been able to find some great 3/2 and also 4/2's that rent really well, are newer properties with low maintenance.

Minimal taxes is a distant second.

To say maintenance is x% of value might be an approach by distant management that would over state expences as a safety margin, much comes into play with your local economy, labor and materials can vary and what you do yourself.