kind of on the market for one i made a bet with my dad and if he looses depending on the price he might get one 4 me! i have seen sum lanikai's before for really inexpensive.
They're usually sold at a pretty deep discount for some small asthetic imperfection, and other than that, just play just fine. I know there were old blemish Kanileas/Lanikais on eBay earlier, which were pretty decent deals, but other than using the search function, and checkin often, unfortunately, I don't have any inside info.
To find them on ebay, I just do an advanced search for "ukulele blemish" and click the box that says "search title and description". At the moment there aren't very many available. You can also search "factory second" which is what my Lanikai LK-1S was listed as.
It takes a bit of patience and vigilance and looking on the right day with the right search.
I look pretty much daily for bargains and such. That's how I scored mine. There was a bunch of them at year's end, but I haven't seen too many as of late.
Strings and Things Guitar Wholesale was the seller. They may get more if you pay attention. Also be aware that what you're getting is coming from a warehouse. It's not going to be set up and ready to play. It'll take a little futzing and string changing to get it right.
You can set it up so that eBay will sort of automatically search for you, and notify you whenever an auction pops up that matches your search criteria. Just click "save this search" after you do a search.
If I remember correctly, Morelli is one of those really cheap uke brands that only that one seller has. I wouldn't have any particular high hopes concerning them.