And they (state and local governments) are still doing nothing to close the gap on supply, while increasing construction/permitting/carrying costs. 

The 56K included downpayment, closing cost and carrying cost.

Renting was too much and my last rental had me buy appliances which I did not want to carry to another rental but to a long-term residence that I can call my home.

also some liens get carried with the property (ie. you would pay the auction price PLUS the lien)

I have spoken to the bank, who carries my own mortgage, on what I can and cannot buy through them.

Assuming I manage everything on the ground and carry risk of mortgage?

I won't use the Auction sites...the truth is that it's just another way of marketing but one that counts on the premise of "everyone wants what everyone else wants" - and running the price up with folks who get carried away with the bidding. 

Looking at carrying a note-  Thoughts on getting the credit score of the potential borrower?  

High-Density Material• Bamboo is the hardest flooring most suppliers carry.

If not, then you have to look into other types of loans like fix and flip or rehab that carry higher rates.