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Thomas is a builder in Minnesota. He regularly acquires land to construct residential, commercial, or industrial buildings with the intent to sell the property after construction is complete. He doesn't have a real estate license, but isn't violating any license laws. Which of the following is true?

A. Thomas is in violation of Minnesota's real estate license laws.
B. Thomas is exempt from real estate licensing requirements due to his builder status.
C. Thomas must obtain a real estate license to continue his activities in Minnesota.
D. Thomas can only sell the properties to other builders without a license.

1 Answer

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Final answer:

Thomas, as a builder who acquires land to construct and sell property in Minnesota, is likely exempt from the requirement to hold a real estate license due to exemptions typically provided for individuals dealing with their own property.The correct answer is option B.

Step-by-step explanation:

The student's question pertains to whether Thomas, a builder in Minnesota, is in violation of Minnesota's real estate license laws by acquiring and selling property without having a real estate license. Given the information provided, the correct answer appears to be that Thomas is exempt from real estate licensing requirements due to his status as a builder.

The occupational licenses serve an important role in establishing quality and credibility in various professions, including real estate brokers. In most states, an individual must have a license to legally act as a real estate broker. However, there are exemptions to this requirement, often for individuals who are dealing with their own property.

Since Thomas is constructing buildings and then selling the property after the construction is complete, he is dealing with his own property and this might indeed make him exempt from the requirement to hold a real estate license.Therefore, the most accurate answer to the student's question is B. Thomas is exempt from real estate licensing requirements due to his builder status.The correct answer is option B.

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