No offense to any I'm just trying to get a good insight on how this will work as not all good deals have to come through wholesale or sheriffs sale.

No offense meant, but if you have to ask if it's a good investment, perhaps you need to spend some more time educating yourself before trying to broker notes.

The lease may be terminated in case of any nuisance, disturbance, offensive conduct, illegal drug use, and obstruction of justice for lying to the police officer.

Joseph Bramante zero offense, I appreciate your insight!

Also, in regards to negotiating a deal, I want my first offer to be low enough to allow room to negotiate up to my desired price, but I don't want to be so low as to cause offense, how much give is there when negotiating?

Not to sounds offensive, but everyone's time is valuable.If you are a buyer, you typically don't pay anything to the agent, unless they charge any retainer fee.

I just wonder how do you guys find motivated seller or FSBO type of seller (no offense to real estate agent).

First off, semantically  speaking, your discussion lacks a definition for the word "Legal"  While there are contracts in which a breach is a punishable offense, I am assuming you mean "Legal" in the "right to seek compensation for damages" sense.   

That property is not making any money at 450k and the seller might take offense at 325k!

For example, if you want rental properties in good areas, the last thing you want is a list of section 8 landlords (no offense - I have section 8 properties, but the typical section 8 properties are not in the A and B areas).