Second orbit at this table, no reads on opponents.

Some may state I should have raised my pair pre-flop since I was CO, but I never feel very comfortable raising pocket pairs lower than 99/TT so I decided just to limp in.

The flop showed cards I really didn't want to see but I didn't want to lay down my cards immediately. I thought about the chance of appr. 35% to improve my set and so take down a nice pot.

My question now is if I understood the concept of implied odds correctly?

Facing a c/r on the flop I thought that at least of one of the opponets had the flush and so I would have been able to stack him with an improved hand.

What would you have done in this situation?

No-Limit Hold'em, 0.05/0.1 $ BB (9 handed) Hand History Converter Tool from FlopTurnRiver.com (Format: FlopTurnRiver)

UTG ($7.61)
UTG+1 ($11.90)
MP1 ($7.36)
MP2 ($2)
MP3 ($1.90)
Hero ($11.20)
Button ($12.82)
SB ($12.17)
BB ($10.15)

Preflop: Hero is CO with 7, 7. SB posts a blind of $0.05.
UTG calls $0.10, 1 fold, MP1 calls $0.10, 2 folds, Hero calls $0.10, 2 folds, BB checks.

Flop: ($0.45) 7, K, 9 (4 players)
BB checks, UTG checks, MP1 bets $0.3, Hero calls $0.30, BB raises to $1, UTG calls $1, MP1 folds, Hero ?


Thank you in advance.