Army surplus stores will sometimes carry them. Otherwise the internet is a good place to check, as is Craig's List.
Most retail chains won't carry them.
The lockpicks belong to Eric Weisz (aka Houdini). Once you ask him about the opened briefcase, you learn his identity from the newspaper reporter. Go back to his room and find the picks.
Yes you can, you only need some lockpicks.
Yes. The tools are pretty universal.
u have to join a theifs clan and u can buy lock picks
He falls after you discover that the lockpicks belong to Houdini.
You can't but you can get the Skeleton Key as part of Thieves Guild quests which is a unbreakable lockpick!
The cheapest I have been able to find good quality lock picks are at lockpicktools.com. A link has been added to this answer for your convenience.
Not 100% sure about general merchants but I know that all Thieves Guild members sell them. Just join the thieves guild.
You can buy them from Shady Sam, he is north of the stables outside of the imperial city along the wall. He is there day and night,
Hooks, Diamonds, Snakes and Balls. Balls are more for wafer locks though and aren't used often for normal pin tumbler locks.
I don't know about a "bone lockpick", but i know about an infinate one. if you find the nocturnal shrine(shrine of the nocturnal) and complete the task the shrine gives you, it will reward you with an infinate lockpick. you will never have to buy a lockpick again:) hope this helps, ianswergoodones
LEGAL STATUS United States: In United States, laws concerning possession of lockpicks vary from state to state. Generally, possession and use of lockpicks is considered equivalent to the possession of a crowbar or other tool that may or may not be used in a burglary. Illegal possession of lockpicks is generally prosecuted as a felony under the category of possession of burglary tools or similar statutes. However simple possession is completely legal as state statutes all require proof of intent. In California, locksmiths must be licensed by the state. However simple possession is completely legal as illegal possession must be coupled with felonious or malicious intent.