You have problems but you are on the right track:
1. If the microphone is a dynamic one, you need to add a coupling capacitor in series with the 1K resistor. Dynamic microphones conduct current and will pull the voltage across them toward ground. As the amplifier is inverting, this might account for the outout voltage going higher.
2. If the microphone is an electret one (most are these days) you need to provide it with a load resistor. Try connecting a capacitor (100nF will do) in series with the 1K resistor and also adding a 10K resistor from the microphone output to the 5V line.
Brian.