If you think it's a good idea for someone just starting like me, what are the best tips you can give me on finding motivated sellers and buyers? 

I know this requires more paperwork from the sellers position.

If the listing is on MLS then I would get an agent and have them run comps (CMA) and get there 3% fee which is paid by the seller If it's off market and they won't pay the realtor fee - You could pay a realtor $125 for a BPO (broker price opinion) to get a more realistic value.

They have and can share a deep wealth of information.Having said that, I find that the majority of the time, they are representing the Seller.

You could run a test ad on Craigslist and get a feel for the rental demand in that neighborhood.

Housing starts still lag the demand by a good five years or so.

A good engineered wood can easily stand up to the demands of a kitchen and half bath and I would never break up the transition of an entryway into another area with a change of flooring.

Do i approach same as i would any other seller?

High demand but low supply

I'm talking with a seller who is two weeks away from foreclosure.