If the PITI plus expenses are being covered by the renter and you can get most/all of your cash back, hold it. 

Yes, I feel that directly owned single-family rentals are really a business and not a passive investment.There are a lot of things that can be done to automate it like taking rent over the Internet, using Zillow and other apps to bring in new potential renters, etcBut others require manual labor.

That’s how I found out about the renter and what they told him.

I agree with @Michael Baum - you will severely limit your potential renters doing a 7 night minimum. 

I’m also debating whether to make it more attractive for renters by doing larger renovations.

The nicer the place looks, the more likely it will attract quality renters willing to pay market rate.

Like @Michael Quarles and @Kristin Flores-Brockman are saying here.Occasionally there are investors who acquired an investment property with the intent to hold and put renters in, but find some unexpected negative catalysts that will impact their ability to rent it out.

Not only do they become our renters but they help keep the economy just chugging along. 

Our lease requires the tenant to carry renter's insurance with a minimum of $300,000 liability coverage naming us as additional insureds, as well as covering their personal property.

I would focus on house hacking, finding a two-family, and just getting the best renter in the other side.