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I downloaded a fresh version of Kali and moved over my files. I guess there is no fix for my issue.

I've uninstalled and reinstalled and no luck. I am lost at this point.

postgresql was already running and the msfdb was already setup. I gave your instructions a go and got the following:

<xxxx@kali:~/Documents/xxxx# msfdb init
A database appears to be already...

Greetings. I am currently running the following version of Kali:

Linux kali 4.14.0-kali3-686-pae #1 SMP Debian 4.14.13-1kali1 (2018-01-25) i686 GNU/Linux


Distributor ID: Kali...