Who knows if it will be accepted, but just going through the process has been incredibly educational.

Converting passive income/losses to non-passive without an arms' length transaction in between would not be acceptable to the IRS.  

I will have the sole and exclusive right to purchase the property at any time of my choosing for the nominal amount of $1 from the seller and whatever arrangement I might make agreeable to satisfy the relevant creditor bank's remaining debt.

Real estate investing is good but remember if it can go wrong it will at some point and the quicker you accept and prepare for that, the better you'll be.

I used to use Craigslist almost exclusively.

Research the area and know what is acceptable and what is not.

Maybe another realtor can pipe in on your above scenario.2) You never know what a bank will accept. 

hi heather. many bookstores and stationary places have the necessary documents you are looking for. office max, office depot, etc. but, some counties do not accept these. some county clerks require exactly what they want in order to complete your transaction. i would start by going to the county clerks office and ask them for all the papers you will need to complete this transaction. they can be very helpful at times even though they are state employees.......lol

Currently in Richmond VA, I'm a young, abicious, eager to learn investor who is currently waiting on the bank to accept my offer on my first rental property.

If she balks, and says she accepted your offer in writing, you have to perform or back out and lose your deposit.