California Real Estate Practice Exam

The correct response regarding what does not constitute grounds for disciplinary action under the Manufactured Home Act is that an agent advertises a new manufactured home as used, assuming he is limited to working with units registered with the Department of Real Estate (DRE) for at least one year. This action could stem from a misunderstanding or misrepresentation of the regulations regarding manufactured homes but might not inherently reflect dishonesty or unethical behavior.

The key aspect is that the agent's attempt to comply with the limitation of only working with registered units does not directly violate any specific rule of conduct that would warrant disciplinary action. In contrast, failing to withdraw advertising after a unit is sold or misrepresenting the operational capabilities of a manufactured home both run the risk of misleading consumers or violating regulatory standards. Such actions could result in disciplinary measures because they directly impact customer trust and the integrity of the real estate practice. Thus, the agent's advertising of a new home as used is a misstep but not one that typically triggers disciplinary consequences, unlike the other scenarios presented.