Do everyone a favor and read on the requirements in the CA contractors license board on How to Become a Contractor before asking the forums.

 - the rent control will require paying tenants to rehab but that is fairly low cost in the scheme of the rehab value add and sell

*In some cases a title insurer will simply “insure over” an old defect.

Is mediation required?

I am not sure if all stayed require due diligence money but I think it's just a scam.   

I’m in NJ and I believe they require you give tenants until the 5th of the month (sometimes longer for senior tenants).

While a $130,000 property might seem appealing, managing it from afar requires careful planning, considering travel costs, taxes, and legal obligations like understanding landlord-tenant laws specific to Kansas City.

You can't blame your preparer they are simply reporting a transaction and I'm guessing you didn't consult with anybody before you sold the property?   

Your assignment agreement should specify the amount of EMD you require and the timeframe for it to be deposited.

Required to clean up after our selves as we go.