In contract to purchase a CFD in MO. Have done most due diligence items, but I'm stuck on two pieces that I'm not sure about.1. The seller doesn't have the borrower's driver license or any identity verification paperw...

We currently own an STR in Red Lodge Mt.

Probably not, because in some states would change the tax status of the property to Secondary which could be a red flag for USDA especially if they are the ones you are making the payments to, which is the case with USDA Direct loans. 

And if they see a huge red flag, then you'll feel ok about ditching the deal.And don't do this again, waiving contingincies is for pros.

Is this a major red flag of her professionalism?

The root problem with POHs is that many park owners become greedy and lazy in their management which then allows these homes to fall into complete and utter disrepair. 

I agree on all the points you’ve shared and definitely use them for my research.One question I wondered about was if people care about political affiliations (red/blue area).

Not so sure about this area, but generally it's good to invest at red states, most of their market experience good growth and are landlord friendly.

The more I'm thinking about this the more red flags I'm thinking of.

Think of Sears, Toys"R"Us, Best Buy, CVS, Dollar Stores (600 Family Dollar Stores are set to close; 370 Family Dollar and 30 Dollar Tree), Walmart closed 11 in 2024 so far, Applebee's, Red Lobster, Stop & Shop, Rite Aid, Lehman Brothers (a 158 yr run), Bear Stearns etc.