That baofeng should never have a range that short - it's either defective, or (more likely) the frequencies aren't programmed in correctly. If that is the case, then you will be getting very short range comms still with bleed through. I've had clear as a bell comms with identical spec baofeng at 6km in undulating woodland. Even dense urban, on uhf, should give you a reliable 500m or so. Got to say, when I used the real harris radios, the range wasn't really any better (but obviously so much better in terms of quality and feature set).