Not really, because you don't know what your final price would be until the auction ends, and you generally have to register with the auction site to participate, and many require you to close in cash, not to mention many investors are already looking there so if you win a bid you may be overpaying. 

When you start to get into $1.6+ million, that's where non-recourse, institutional financing comes into play which sweetens the pot considerably compared to the traditional 20-year, floating rate commercial loan on a $1.5 million property.Another thought: 25 units sounds like a lot, but it's not enough to hire out full time management and maintenance. 

You may also want to contact lending institutions in your area (or the area where you want to purchase your home) for additional financing options."

She is a Section 8 participant is only supposed to have 3 people living there.

I would love to be participate and meet other like-minded individuals. 

Download the instructions for SchE and you can read some more.If your modified AGI is <$100k, you can take $25k of your rental losses that year also if have “materially participated” in your rental activities.

However, I think it’s still easily profitable with that amount of interest and I’m going into it with the understanding that I will need refinancing to a more institutional loan within 12-24 months.

No incentive to participate in the American Dream. 

That's your long term plan to be bankable at a traditional bank.2) Connect with private lenders and lending "institutions".

You may wish to confirm that the new 401k provider will handle the ongoing compliance support such as any required 5500 filing (e.g. 5500-EZ for a one-participant plan with assets in excess of $250,000), any required tax reporting (e.g. 1099-r in the event of a distribution or in-plan Roth conversion), mandatory plan updates and amendments, etc.4.