The key is keeping detailed records to ensure only legitimate business-related expenses are written off.

.- discount fee- 6,705- underwriting fee- 1,495- tax certificate and flood cert fee- 77- capitol review- 165- investor review- 400- CR fee- 160- VOE fee- 75- Appraisal- 1495 (I know this seems high, but i have had multiple quotes)- Title company charges- 2,100 (I have a quote)

He charges a lot of money for what all other lenders offer for free. 

Beyond that there are hard money lenders who charge higher rates to take on more risk... but they again start by looking at you, your skill set, and your previous experience in both managing your credit, as well as your real estate investment history.  

We essentially want to replace the realtor for these FSBO sellers and just charge 1% of the sales price. 

This is odd, but it makes me feel they are more legitimate and not try to take the deposits and run. - They do have a catch that even if you waive the buyer agent fee as a leverage for negotiation of the deal, the brokerage will still charge the transaction fee.  

it might take some digging but then at least you'd know how much they'd charge and could think about it.

The reality is the opposite - if it's not in writing then the PMC doesn't have to provide the service or can charge extra for it!

Might be good to speak to them separately and see how much they actually charge. 

They will normally charge you for desk space, using their printer, support from them and their office staff, Etc....Then there are MLS fees, Lock Box fees, Continuing Education costs, and the basic costs of running your own business.