Ideally a HELOC is used for less then a  year project where you can refi or sell to pay back the HELOC. 5 years is a long time, things can happen and if you reduce the cashflow on both properties you'll be increasing the risk and having thinner margins.

And during inflationary times rental rates increase.

Also, check if they have skin in the game (their own money invested), as it shows they’re confident in the deal and aligned with your interests.If you’re considering alternatives, REITs are fantastic for super-passive investors who want steady, low-effort returns—usually about 2 points above a savings account—but you lose tax benefits and control.

For the next billing cycle they increased my charges by $500 and did not notify me of the upcoming charge.

I'll focus on maintaining the property and optimizing rent increases to ensure consistent returns over the years.

Unless you are confident in estimating the renovations needed, I would highly recommend getting a contractor's professional opinion of the rehab costs.

Here is my case for over valued in general:- over a decade in f unprecedented price increases- rates have doubled significantly raising the cost of a high LTV purchases, but in most markets there have been no corresponding price decrease

Should I sell and 1031 the equity into a apartment complex where I can increase my net per month?

I recognize this is not the sole source of return, but the other sources have their return increase with smaller equity position. 

However, if you're a W2 high income earner or business owner, I can't imagine it makes any sense to flip houses, mail mass post cards, wholesale, or build lead gen websites with the value of your time being better spent other places (such as learning about real estate and increasing your income through proven means), such as at your 9-5pm or growing your business, and your real estate is a long term process and you don't need "home run" deals to qualify or make it work.