Housing and Community Development (HCD) Practice Exam

When can a dealer sell a Mh-Unit to be installed on a foundation system?

1. If the dealer was involved in previous sales

2. If the dealer has the license for resale

3. If the dealer may not be involved in subsequent resales

4. If the dealer may be involved in the resale

The correct answer is: If the dealer may be involved in the resale

A dealer can sell a manufactured housing unit (MH-unit) to be installed on a foundation system when they may be involved in the resale process. This typically means that the dealer has the necessary licenses and compliance with relevant regulations, which allows them to oversee the sale of the MH-unit as well as any future transactions related to that housing unit. In the context of manufactured homes, the involvement of the dealer in resale can ensure that proper standards and installation procedures are met, thereby enhancing consumer protection. The implications of the dealer extending their involvement beyond the initial sale also suggest that they can provide ongoing support, adherence to local building codes, and potentially more comprehensive warranty and service options. As for the other options, while licenses for resale and involvement in previous sales may be relevant to the dealer's overall business operations, they do not directly address the conditions under which a dealer can sell a unit to be installed on a foundation system. The restrictions on involvement in subsequent resales indicate that if a dealer cannot engage in future resales, it would limit their ability to oversee proper installations and the continued service of the housing unit.