I’d recommend connecting with local property managers and agents as soon as possible—agents can help you identify deals that fit your BRRRR criteria, and property managers can give insight into rental demand and market rents.

Technology makes long distance investing possible, but it's still easier and less risky to do it close to home. 

Are they doing everything possible to expose properties to the broadest possible market?

I am looking at possibly investing there again as the Atlanta market is saturated.

Not a problem, it is a county-by-county program including Washington, Allegheny, and Westmoreland counties (program is based on the median income in the area and the sales price) so could still possibly work.

They have asked me for $7500 to be wired for Appraisal and possible Phase 1.

Look at photos, and look for homes that look as similar to yours as possible, in quality, condition, style and size.  

If they want to donate it to a church, it's up to them to do so.Third, while I'm not an attorney, I would be careful about the possibility of this person later suing you for "not paying" them if you comply with their odd request.

If this is the case, you want as much money as possible in taxable and Roth assets so that you don't pass assets on that create tax burdens for your kids.  

If you are fully committed to purchasing rather than renting, I would suggest to try and get into the best area with the best schools you possibly can.