There are so many issues to address:
1. Just because a website (we all know which one you are talking about) says is it posted for auction, doesn't mean that it is. They frequently publish bogus information, bad pricing disinformation, and inaccurate data.
2. Buying a Short Sale is better than buying a home at auction. Unless you are a sophisticated and seasoned auction veteran, you could find yourself the proud owner of multiple tax liens that are NOT cleared by foreclosure. Auction sales are "as is, where is" with all faults. No repairs, no do overs. What usually happens is the bank bids the full amount owed. A "successful bidder" will start with "$1 more". Quite often, the bank bid is more than the home is worth. Then the bank has to take the steps to clear the liens, do minimal repairs (sometimes), and re-market the home as a lender-owned property.
3. As Josh Boggs said below, if you get proper help, you might be able to do something, but don't try it alone. Josh actually specializes in this type of sale, so you might start there. He has the tools to find out accurate information.
4. After working so hard to restore your credit, wouldn't it be a shame to make a huge financial mistake? When buying a home, there are so many factors that Buyers don't think about, but REALTORS do. PLEASE find yourself a pro to represent you. The Seller's Agent usually pays for your agents fee, so you can get the best agent you can find, and let them lead you through the very detailed process. Here's a link to my blog article on why you need an agent: http://www.trulia.com/blog/ellen_doc_stephens_realtors/2010/
Doc Stephens, REALTOR