PSI Virginia Real Estate Practice Exam

Which activity qualifies as a license exemption in Virginia real estate?

1. Engaging in commercial transactions without a license

2. Consulting clients about property value

3. Selling one's own property without compensation

4. Managing properties without an agreement

The correct answer is: Selling one's own property without compensation

In Virginia real estate, individuals are allowed to sell their own property without needing a real estate license, which qualifies as a license exemption. This means that if someone owns a property and decides to sell it personally, they do not have to go through the formalities of obtaining a license or hiring a licensed agent. This exemption is in place to allow property owners the freedom to manage and transact their own affairs without unnecessary regulatory barriers. The ability to sell one's own property is rooted in the principle that property owners should have the autonomy to conduct transactions involving their own assets. It emphasizes the idea that ownership grants individuals certain rights, including the right to sell, dispose of, or manage their property as they see fit. Other activities listed, such as consulting clients about property value or managing properties without a formal agreement, typically require a real estate license in Virginia, as they involve providing professional advice or services to others for compensation. Engaging in commercial transactions without a license also falls outside the exemption, as it suggests a level of service being rendered to clients, which necessitates licensure.