Bottom line these are NOT federally regulated or state regulated loans.. they who have the gold make the rules.

I have never dealt with an investor who didn't physically go to the property & most look up zoning regulations before even giving me an offer!

You cannot go after them as for a regulation a+ offering is self attestation (meaning you are attesting that you are not putting in more than 10%).

That doesn’t go unnoticed by regulators.

The California government will deal with the damage the same way all governments do , they will find a way to raise taxes or get the Feds to pay for it ( that will be difficult with the new administration ) Here is what I find ironic , California has C.A.R.B. to pass regulations on vehicle emissions .

I am going through the regulations and restrictions in that place (not a closed community but there are some rules).

This question is most likely best for a lawyer familiar with local regulations and code.

You can easily report them to the regulators if they do something fraudulent and can pay fines and/or have their license revoked. 

I know there are some STR regulations, but it seems there are plenty of parts of town where it can be done.

I am currently researching the different regulations in Ontario and GTA.