Unlikely it will sell at the auction, unless someone bids the full amount owed including of course all accumulated interest.  

The remaining amount of money that I have; that my friend gives me is going to be back up money.

Please click on the links, give them a read, and share your thoughts in the comments.First is a post that I feel will help not get overwhelmed with the amount of info that is here on BP:https://www.biggerpockets.com/blogs/5868/52761-the-simple-guide-to-getting-started-on-bp The second is a post that will help get you focused with your real estate investing goals:https://www.biggerpockets.com/blogs/5868/52743-im-new-to-bp-any-advice-would-be-appriciatedThe last one is a post that will help you choose an “investor friendly” real estate agent.

If so, it might be to your benefit to work with her and raise it to an amount that you determine she can afford while she looks for a new place. 

Long term goal is the make this an investment property PAY IT oFF AnD hAvE IT FoR AdDITIONAL RETITEMENT INCOME Asking price is 205 Offered 200 I wanted to originally put down the 3% But after seeing the numbers (monthly) I’m not comfortable paying that amount.

I’d put down the least amount you can and fix it up to get appreciation.

well because id figure id have a smaller amount to pay high interest on for HML OR PRIVATE lenderand because i feel an LOC for rehab seems better since i only use what i need and pay back what i used instead of taking out ONE HUGE loan and paying interest on that huge loan. im thinking i may only be able to do this using the “B” strategy if the HML interferes with getting an LOC.since id potentially have 2 loans on file. like i said this would be my 1st flip so some advice from those of you who would know if i can actually try this out would be appreciated. if not then what am i looking at for plan “C“C) suck it up, Get it all under one loan and pay the high interest?

Please click on the links, give them a read, and share your thoughts in the comments.First is a post that I feel will help not get overwhelmed with the amount of info that is here on BP:https://www.biggerpockets.com/blogs/5868/52761-the-simple-guide-to-getting-started-on-bpThe second is a post that will help get you focused with your real estate investing goals:https://www.biggerpockets.com/blogs/5868/52743-im-new-to-bp-any-advice-would-be-appriciatedThe last one is a post that will help you choose an “investor friendly” real estate agent.

Podcasts are a great first start, but you should spend a significant amount of time reading some books, the forums, etc.

Some owner's will waive the fee if the renter stays for a certain amount of days.