The expenses seem to be much more than the rent.

It's easy to bite off more than you can chew in this business and that's especially not a good idea for your first deal.

He gave me the owner's number (Jeff) and I called him on the spot, hoping to be able to offer my services to help him find and sell more homes in the neighborhood.

I would check out airdna pay for a monthly sub for a bit, it really helps paint a picture of the health of a market. 

It may sound nice to pay a 5% management fee but the extra fees can add up to be more than the other company that charges 10% with no add-on fees.

This is obviously much better than $1,400 per month.On top of that, you will now get 2x the depreciation write-off so your taxes should go down.On top of that, you will now get 2x the appreciation when real estate price go up.On top of that, your tenants are helping you pay down the loan, initially at about $100/mo for both properties, which gradually gets better and better.On top of that, you now have more units so if one or two goes vacant, you have more renters covering the losses of the vacant units.If you want to keep these properties, I would do a cash-out refi and go buy more rental real estate.

Upon BP member recommendations, my husband got his real estate license which now helps increase our access and decrease our transaction costs.

I could take look at it for you, and help you understand it if it's a standard lease, no need to pay me, although I am not a lawyer.  

Hope this helps.  

Feel free to DM me if you more questions.