3) Is there a way to distinguish or classify which type of REO properties tend to be listed on the many different auction sites?

This is not a classified section!!

How a business derives its cash flow is the basis of how the loan is classified.

I assume you want it to be classified as OO for either loan, tax or resale purposes.

Before we closed on the property I posted a classified ad to rent garage/shop  for $1000/month.

You can reach out to private money lenders in your area probably a google search would get you a bunch and they even advertise in the newspaper (somewhere around the business classified section).

Now mind you I know NOTHING about ML, but my issue is that you can not classify a motivated seller. 

Direct mailFacebookGoogle AdwordsThe right classified adsSign ridersThere's only so much time and if you make it a point to base your leads solely off something that directly involved you every time or it doesn't happen then what happens when you get a client.

A look at the property records to see if it's classified as a single family home, and a look any permits converting it, would be a first step.

i've found plenty of different lenders, but anyone can create a nice webpage or classifieds ad and write their own reviews. who do i trust?