How to do short sale and REOs step by step ?

I am in Michigan wondering what to do in a short sale because this my
first time I went to the bank and got a list and a card for short sales.
My question is find the house I want. Do I pay for title search for any
liens in short sale? And also do this no money down really work because I check your listing of lenders they will check my credit and my credit is really messed up. To get a REO. How can you make profit from a short sale if the owner DEFAULT. How can you rent it the person back in ? I study some of it ,but somebody really clear up this confusion They say don’t go to the conventional banks thats the last thing on the list because they heavily regulated. I know renegotiate with mortgage to lower the payment don’t you need a contract to do any transaction. And reduced $20,000 OFF the original price to attract investors to get equity.
How to get the investors and what blindspots that I need to know so I
know? Thank you George