North Dakota Real Estate Practice Exam 2025 – Complete Prep Guide

A corporation that sells its own real estate is considered exempt from being classified as a real estate brokerage firm because it is not acting as an intermediary for the transaction of real estate owned by others. Instead, it is handling its own property transactions. This means that the entity is not engaging in the business of bringing buyers and sellers together for a fee or commission, which is the primary function of a real estate brokerage.

In contrast, a contractor managing rental properties is typically involved in the leasing or rental process, which may require a real estate license. Similarly, a partnership engaged in real estate sales is actively involved in selling properties, thus functioning as a brokerage. Lastly, a business providing temporary housing may also need to navigate regulations and licensing as it deals with the rental of properties, which again aligns more closely with brokerage activities. Therefore, the corporation selling its own real estate remains distinct in its operations and thus enjoys this exemption.