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Sell or rent my property

I own a SFH property in Southern California that I’ve been renting out for the past two years. I have one more year left to decide whether to sell it in order to take advantage of the $500K capital gains tax exclusion. My piti is $3,700 including property management fees and I currently rent it out for $5,000, so it generates positive cash flow of around $1000- $1200 per month. I owe $520k purchased for 800k with interest rate of 2.5% and it can sell for 1.4M. I also own a primary residence duet in the Bay Area, which is financially manageable with 50% equity. Planning to buy a sfh home as a primary home in couple of years in Bay Area around 2.5M. I don’t have down payment for that. I won’t be moving back to SoCal.

My question is: should I sell the Southern California property to maximize the capital gains exclusion, or continue renting it as an investment property?

submitted by /u/RecommendationHot131
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source https://www.reddit.com/r/RealEstate/comments/1n84oi2/sell_or_rent_my_property/
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