Live Preview Not Updating - No errors found
Okay, so I figured this out and its a very stupid twig template noob mistake on my part. 

The mistake is this:

I had a section called 'demo' with a field called 'demoField' and created a template folder called 'demo' with an index.html file inside. The mistake is that my template had this:

{% for entry in craft.entries.section('demo').find() %}
    {{ entry.demoField }}
{% endfor %}


Looking at it now, this won't work, but simply {{ entry.demoField }} will work. 

It threw me off because it was still showing the content in the template and saving it to the database, but the live preview would simply not work.

Quite a silly mistake, but just starting out I completely missed this. Hopefully this will help someone in the future.