What would you do? Ready to trade up

[Brent Causey]

My Dad and I own a few rentals together. We put up 0 cash as we leveraged some "paid for" land as our collateral on our first deal. We have two houses, House 1 - purchased for 135; we owe 135; worth about 165. House 2  - Purchase for 115, we owe 105; worth about 145.  Current cash flow is about $900/mo total after taxes, insurance, etc.  We have roughly 70 in equity. 

Where we live, even the good deals run at about 1%. The rent is equal to 1% of the home purchase. House#1 rents for 1450 (paid 135) house #2 rents for 1250 (paid 115). Those were both off market "good" deals. 

What would you do? Sell them both and 1031 into a new house? This also frees up land for collateral on another. They're both great houses so I hate to lose them. Any way to keep them and pull equity out? we've done no improvements. Comps vary so much here, the appraiser can make it appraise high or low! I've seen appraisers be 20-30k a part on the same property because comps are so varied.