Licensing Exam – QUESTIONS AND CORRECT
ANSWERS (VERIFIED ANSWERS) PLUS RATIONALES
LATEST VERSION 2026 Q&A |INSTANT DOWNLOAD
1. What agency regulates manufactured home salespersons in North
Carolina?
A. North Carolina Department of Revenue
B. North Carolina Manufactured Housing Board
C. North Carolina Secretary of State
D. North Carolina Real Estate Commission
*Correct Answer: B – The NC Manufactured Housing Board oversees
licensing, regulation, and enforcement for manufactured home
professionals.
2. A manufactured home in North Carolina is legally defined as a
home built to which standard?
A. State building code
B. International Residential Code
C. HUD Code
D. Uniform Housing Code
*Correct Answer: C – Manufactured homes must comply with the
federal HUD construction and safety standards.
3. Who must hold a salesperson license to sell manufactured homes in
NC?
A. Any retail employee
B. Only the dealership owner
C. Anyone engaged in sales negotiations
,D. Only installers
*Correct Answer: C – Anyone negotiating or selling manufactured
homes must be properly licensed.
4. How long is a manufactured home salesperson license valid in NC?
A. One year
B. Two years
C. Three years
D. Five years
*Correct Answer: A – Licenses must be renewed annually.
5. What is required before a salesperson may engage in sales
activities?
A. Completion of continuing education
B. Bond filing
C. Issuance of an active license
D. Passing a background check only
*Correct Answer: C – Sales activity may only occur after the license is
issued.
6. Which action is considered misrepresentation?
A. Disclosing known defects
B. Accurately describing floor plans
C. Making false statements about financing terms
D. Providing HUD labels
*Correct Answer: C – False or misleading statements constitute
misrepresentation.
7. A manufactured home becomes real property when:
A. It is sold
B. It is installed on a permanent foundation and titled as real property
C. Utilities are connected
D. It is moved to private land
, *Correct Answer: B – Permanent foundation and proper titling are
required.
8. What document transfers ownership of a manufactured home
classified as personal property?
A. Deed
B. Certificate of Origin
C. Title
D. Bill of sale only
*Correct Answer: C – Personal property manufactured homes are
transferred by title.
9. Who is responsible for ensuring proper installation of a
manufactured home?
A. The buyer
B. The lender
C. The retailer/installer
D. The county tax office
*Correct Answer: C – Retailers and licensed installers must ensure
compliance with installation standards.
10. Which disclosure is required at the time of sale?
A. Federal tax form
B. Installation manual
C. Warranty information
D. Appraisal report
*Correct Answer: C – Warranty disclosures are required by law.
11. What is the purpose of the HUD label?
A. Indicates financing approval
B. Confirms compliance with HUD standards
C. Shows retail price
D. Lists installation instructions