Hiding or being allusive about how your business operates is unethical, maybe illegal depending on the laws in your area.There is nothing wrong with a business capitalizing on relationships the business has built.

What permits would be needed to build, what can be built, what is DR law about everything, etc.

I was told that any loan on a 1-4 family dwelling falls under the new law regardless of financing method.

I live out of state and I found out from my father-in-law (who was the one that originally hired the same company for their house) that the company simply subcontracts the work out.

I don't know your local laws.

There are strict guidelines regarding solicitation so just be sure to know the do's and don't before raising private money (lots of forum posts here in BP on that).

I'd ask him to provide you the written ordinance, statute. or law that you are supposedly violating.

Aside from that fair housing laws don't let you impose different limits of occupancy.

This could also fall under federal RESPA laws which would make it questionable for any agent anywhere.

So knowledge of the city laws and zoning are needed.