(1) Is this legal? 

IF Seller Broker finds Buyer and everyone agrees to allow Seller Broker to represent both parties (known as "dual-agency")- Seller Broker keeps entire 6% commission.Dual-agency is illegal in many states, but not California. 

I've seen some old posts on Paynearme and PayLease, but I can't find anything recent and definitive.  I think Paynearme has stopped enrolling landlords.  And I am not sure about PayLease.  I filled out their web form ...

The HML guys need to charge 3 or 4 points because they need that profit and they need to put some away to pay for the legal fees associated with foreclosing on you later on.

How does it hold up as far as legality and also is there a decent market for it out there or more trouble than worth.

I’d really love to fix and flip and buy long term rentals but I just don’t have the cash yet and I understand that hard money lenders are very expensive for new investors.Any tips or legal advice for this area would be very helpful!

*This post is not to be relied upon and does not constitute legal advice. 

I never heard before of the matter until Friday, when I asked him to get back to me with a buy out offered as he had said 2 weeks prior or I would had to get legal counsel.The question here is: Should I take his buy out offer or continue waiting, when I don't trust him anymore?

Is that legal?

I know I will have to deal with legal to get paperwork situated to guarantee those monthly payments.