And because we can't support 2 houses, we hired a management company called Kabino and are now renting as a vacation home.

Plus, at this point, you have no market share, systems, support, etc.Just throwing it out there...unless you actually want to be in the brokerage business (with its thin margins), you might be better off just doing your own transactions.

Don't put anymore into the property than what the market supports and keep in mind you have realtor fees and closing costs when you sell.2. 2/1's are small.

Also, we both have supportive, understanding and loving families.

I am not in support of baptisms by fire.So many people on BP seem to knock SF rentals without giving credit to A) how easy they are to find (and therefore cheaper for a point of entry), B) how easy they are to manage, and C) how QUICK it is to get work done on them while learning along the way.

@Simon W. wins the best advice award; If you have enough in your budget and enough supporting assets to hire an actual seasoned real estate controller, do itYour question is almost like your trying get your head around as if there is an owner with 2 choices: either hire employees or sub it out to a vendor.

For one, anyone advertising an above market cap rate probably means there are hidden problems in the property, the area is bad, or the numbers are disingenuous. 

Mary Kenworthy @ Stephanie Clark - REMAX Alliance = Property Management, Cole Fackler Rose & Womble = Agent, Hanger Law = Legal Support

After reviewing the applications (and this is probably day 3 of holding the apartment for them because they said they wanted it and then it took another day and a half to turn in their application), she contacted me and said she wanted the rent prorated (I said I had no problem with that) but also that she wanted me to redraft the contracts because "[she] has an emotional support animal.

There is a lot of support such as Leasing Coordinators, Maintenance Coordinators, Accounting Coordinators, and Managers (of people) that go into a large functioning PM Company.