Knowing that FHA rates are about 1% higher that of conventional mortgages? 

Check your mortgage docs and with your servicer.You'll also need to look into:- Impact on your property taxes: some areas have different millage rates for owner-occupied vs non-owner occupied properties.- Impact on your home insurance: you'll need a landlord policy and confirmation of what will happen if vacant for more than 30 days.You should also consider impact of selling.

Discount rates and capitalization rates (cap rates) are two fundamental concepts in commercial real estate (CRE) analysis.

Ask your hard money for an extension, higher rates, more downpayment?

I am sure you can do the same in San Diego and have better rates than LTR's.

@Brandon Curry The first thing I would do is check the tax rate. $900 is a pretty big jump.

They do 10-20% down and 2% above current market rates.. 

I'm losing money $300 to $700 (with the last rent) each month on what was supposed to positive cash flow $176 a month on paper at 6.99% interest rate.

She took on the property management side for a reduced rate as I purchased the place recently through her.

Most mortgages are fixed rate.