It's highly likely that your heat load (the amount of heat you need to stay above 68F indoors at the 99th percentile outdoor temperature, aka the "
99% outside design temperature") is WELL within the output of any gas fired tank hot water heater, but is certainly within the output of a condensing tank type hot water heater. Listen to the Badger- that is the most likely solution.
The amount of radiator you need in each room is also likely to be quite small, and much of the expense of retrofitting a this type of heating system will be in the radiation. To achieve reasonable room-to-room temperature balance you will need to do a room-by-room heat loss calculation in order to size the radiators proportionally. If money is no object you could oversize the radiators and install thermostatic valves on each radiator, effectively micro-zoning the place, but that's not going to be money well spent.
If you can use computer spreadsheet tools (Microsoft Excel, etc) it's pretty straighforward to do an
I=B=R methods load calculation, from which you can size the radiation, which will be more than adequate. An energy nerd or a true pro would use the somewhat more sophisticated ACCA Manual-J methods, but you can also use
online tools based on Manual-J if you like. In cooler climates it's possible to get accurate whole house load numbers derived from fuel use, but in very temperate coastal CA the error from solar gain and hot water use is large using
those methods. In this case a I=B=R spreadsheet is probably the best, since you can save and correct it as you figure out the particulars of your construction details. If you need help figuring out U-factors of your construction type, ask.
If you're not on the gas grid there are
reversible air source heat pump solutions that will be dramatically cheaper to operate than either propane or electric boilers at typical CA utility pricing. It's more expensive to install than hot water heater based heating, but has the additional benefit of being able to provide cooling (from both the radiators &/or chilled water coils) There are
some very thin profile hydronic air coils out there that can do both heating & cooling with a reversible chiller.