I can probably sell it and after fees probably lose 20k or so (as far as down pmt + closing costs + improvements).Renting (even though negative) seems like a good way to go because I have a good risk tolerance, however I am worried about California landlord laws + unexpected maintenance/capex.

People sue for stupid things, a contractor doing work could have an accident and think it is a good idea to sue me.

At 1.5% the extra cash flow can help you cover some of those unexpected issues.

Being first time for me and doing it by myself I came across a lot of unexpected hurdles.

Pretty low overall… but so are auto accidents and you see then every day.  

With spreadsheets, I can change one number (unexpected emergency expense) and have the impact felt throughout my life instantly.

Maybe you can not even speak because you were hurt in an accident.

The unexpected is the thing you can most expect.

In regards to your concerns about bad tenants and unforeseen repairs, what better way to learn about tenant selection, managing a property, dealing with unexpected issues etc. than to learn in a property you are already living in?

There were a few unexpected repairs that needed to be made but nothing that Youtube couldn't help us out with!