dnsmasq not working without internet connection in OS X Yosemite

Solution 1:

Looks like it's "bug" with Yosemite. Check out this posting, https://github.com/BrianGilbert/OSXAegirInstaller/issues/34:

you could also try this.. https://github.com/joedj/yosemite_dnsfix (didn't appear to work for me though)

[...]

This has been escalated to Apple engineers by myself and I am awaiting a response, a workaround that I've confirmed works (but am not electing to use myself) is available at: http://arstechnica.com/apple/2015/01/why-dns-in-os-x-10-10-is-broken-and-what-you-can-do-to-fix-it

[...]

Response from applecare is that engineers said it's "Expected behaviour" no idea if they will ever fix it..

And from https://news.ycombinator.com/item?id=8969581:

So the response from Apple is that is expected behavior, and the applecare contact suggested I use the hack proposed at http://arstechnica.com/apple/2015/01/why-dns-in-os-x-10-10-i... (which I sent to them)

At this stage he doesn't know if it will ever get fixed.. no indication from engineering..