I think there's more here than an appreciation play. 

Like 50 or 100, not just 2.Not enough specifics to give you a better answer, but it sounds to me like you are considering giving up a great equity play that moves the needle quite a bit (San Diego, right?)

I would be curious to see how this plays out in the end.

After a solid 6 month intensive full rehab and pulling all the cash invested out I like to tell my wife 'Hey look at all the free passive income we have!'

But to play devil's advocate here, if Florida is correcting, wouldn't that make it a prudent time to buy, assuming you can hold on for a while and have cash reserves? 

The longer you hold onto it, the more your costs add up, the more costs you have to recover, and the fewer funds you have available to use to recover them with.Think of it like playing Poker (not because it's gambling...REI shouldn't be gambling). 

If you own the asset, don't own the asset, or don't even control the asset, you can still play in this space.

So what is the RE play in my market?  

This is no time to play the nice guy.....You can also contact your City Council Person and your County Supervisor.

@Shane Kluiter Yes the multi family play or single family to multi conversion plays are very lucrative.