See What Traditional Due Diligence Misses
This is an actual forensic investment analysis. The findings below saved the buyer from a six-figure mistake.
Forensic Investment Analysis
Due Diligence Report: 682 Schoolhouse Lake Rd, Troy, MT 59935
This report constitutes a forensic due diligence audit. Following an exhaustive examination of listing data, tax records, covenants, and environmental reports, the investment profile is classified as HIGH RISK / DISTRESSED POTENTIAL.
While the property offers strong visual appeal—5.31 acres of timbered privacy, a solid 1993-built residence, and proximity to the recreational amenities of the Kootenai National Forest—the underlying regulatory, environmental, and infrastructure matrix is fraught with contradictions that threaten capital preservation.
- Septic Fraud Risk: Permitted for 2 Bedrooms. Marketed as Multi-Family/Guest capable.
- Superfund Liability: Located in Libby Asbestos Site (OU7). Seller disclosure marks "N/A".
- Covenant Violation: Deed restricted to "Single Family." Guest usage violates density rules.
Why This Matters: Without this analysis, a buyer would be liable for $50,000+ in asbestos remediation, face potential lawsuits from neighbors over covenant violations, and own a property that cannot be legally expanded or used as marketed.
Current List Price: $519,000
Asset is structurally and legally encumbered. The contingencies below are non-negotiable prerequisites.
Key Findings Matrix
| Audit Vector | Finding | Risk Level | Implication |
|---|---|---|---|
| Sanitation | Septic permit restricts usage to 2 Bedrooms only. | CRITICAL | Functional obsolescence; inability to expand. |
| Environmental | Libby Superfund Site (OU7). Disclosure "N/A". | CRITICAL | Potential uncapped remediation liability ($50k+). |
| Zoning/Legal | Covenants restrict to "Single Family." | HIGH | Marketing as "Multi Family" risks lawsuits. |
| Infrastructure | "Bonus Room" has no plumbing. | HIGH | Usage without sanitation violates health code. |
| Water | Deep well (520 ft) with 12 GPM. | LOW | Strong asset, though "heaving sand" noted. |
Get This Level of Analysis for Your Property
Traditional due diligence would have missed the $115,000+ in hidden risks identified in this report. Our AI-powered forensic analysis cross-references tax records, permits, environmental databases, and legal documents to protect your investment.
Date: December 3, 2025 | Classification: Confidential Investment Audit