Even if you had put your second choice first you would not have been offered a place. The computer assesses all your preference to see if you are eligible and offers you the one which is your highest choice, so you were not eligible for either school 1 or school 2.
Find out from the LA why you weren’t offered them, it is worth checking as very occasionally a mistake is made on distance or on another higher criteria, this is unlikely, but it will set your mind at rest.If a mistake has happened with your application then it is likely the LA will offer you a place, though some can be reluctant to get things sorted without a push.
In a few weeks time the waiting lists will open and you need to get yourself on both of them, there is often a lot of movement as people leave the area, accept private places etc. You can also go on the waiting lists for other schools even if you didn’t put them on your original application.
An appeal is another option, look carefully through the websites of both schools, are they offering something which your child already has an aptitude for like a language, or a specific sport, or a drama, maths or computing club, or a school orchestra etc, you need to look for something which the offered school doesn’t offer but which will benefit your child. If you do decide to appeal go on to the MN Secondary Schools page, there are very knowledgeable op people there who sit on panels and can advise you.
One thing you do need to do , and must do, is to accept the place you have been offered. This is to ensure that your child will have a place in September ( though hopefully he will have been offered a place you are happier with by then) . If you turn the place down the LA are under no obligation to help you to find another place. Accepting the place does not mean you can’t go on waiting lists, or appeal, and won’t make any difference to either of those options, it is just to secure a place for him.
And be positive about the offered school, if you let your child sense negativity then it is going to be a very long and painful journey untilSeptember.