In truth, there is nothing of worth in us for Him to love us. All of us are sinners (rebellious) in nature. In Paul Washer's words "The only thing you could ever motivate God to do is to send you to the deepest part of Hell".
So how is John 3:16 remains true? He loves us because like Israel, it was His sovereign decision to do so (Deuteronomy 7:7-9). And He picked them to be the light to the Gentiles (Isaiah 43:7)
The Israeli people were the smallest of the people group by any terms, & in the future would much more disappoint Him than please HIm. But to the same people, He chose them to be His people forever (Genesis 12:1-3, Deuteronomy 17:7-8, & Zechariah 2:8).
But with such a rebellious people,, how can they ever please God? The Bible says that He will give them a new heart so that they will obey Him (Ezekiel 36:24-28)
As an analogy, we are Israel.
We are born in sin & we are a slave to sin as our minds are bento towards it (Genesis 8:21, Romans 5:16-18, 8:7), and because of our relelliousness, the wrath of God abides in us (Romans 1:18-25). How can we be saved? By repentance and faith in Christ.
When we give our lives to Christ, we're given a new nature (2 Corinthians 5:17) whereas before, we love sin & hate righteousness but after it is the reverse. :)