Make sure the end B-C transaction is cleared to close and funds at the closing company before your closing company releases funds on the A-B transaction.

The PM is out of the picture until you need them to re-lease the property; you collect the rent and handle any tenant or maintenance issues. 

Yes, you are on the right track - you want to do a disbursement "draw" process - where the funds are typically released in installments, and based on verified completed steps of the renovation

This man changed his name from Timothy Babuin to Jagger Babuin. https://www.ftc.gov/sites/default/files/documents/cases/2003/09/cplsstip.pdfhttps://www.offshorealert.com/bank-bermuda-canada-prepaid-fraud.aspxhttps://www.ftc.gov/news-events/press-releases/2002/12/canadian-telemarketers-targeting-elderly-settle-ftc-chargeshttps://www.picuki.com/tag/jaggerbabuinscammerDo not engage with this man!

I intend to do whatever I can to help @Will Spruill get his units released with good tenants (even though the property management is done by another company separate from ours).

We have a system we set up for release of funds and inspections to safeguard the lender, etc.

Releasing fees were annoying but not crazy.They were freshly rehabbed when I bought them and they came with a one year warranty so that has been in check.I did have a break in and stolen furnace(wtf), but it was most likely the tenant that just moved out.Most importantly, it was the inspiration and education to start doing this for myself.

Then you might start out small with amounts releasing a little at a time.This will make your friend be a steward more with the money than blow it all at once mismanaging.

When my wife and I reviewed this release we thought that our 3x income and 600 credit score requirements would eliminate the section 8 tenants. 

Is there inventory that goes with it, make sure the value of inventory is broken out seperately as to the value in the deal and listed seperately, identify personal property the best you can.Are there any UCC filings on any property, they could still exist from past financing as they are sometimes not released by lenders, an oversight, or must be released at settlement.