The polaron formation at finite densities is studied in the Holstein-H
ubbard model transformed, by a modified Lang-Firsov transformation, to
a polaron Hamiltonian. In a variational approach, an effective polaro
nic Hubbard model is derived, where squeezing effects ate taken into a
ccount. The correlations are treated in the slave-boson saddle-point a
pproximation. Including charge- and magnetically ordered states the ph
ase diagram is calculated, and a self-trapping transition from light t
o heavy polarons is found. The optical conductivity of heavy polarons
reveals correlation-induced structures. By a Schrieffer-Wolff transfor
mation up to second order in the residual polaron-multiphonon interact
ion, an effective polaron model is derived, where for a polaronic attr
action an on-site bipolaron model is obtained.