Residential Construction may fall under 'small business' the same as landscapers and electrical or plumbing contractors who would be doing essentially the same types of digging, trenching and moving dirt, debris or equipment around a site.
And as noted, 'commercial construction' does not appear to be fully excluded. It only shortens the terms of coverage.
As it reads
"* Definition of Non-Institutional Use: RK Tractors Equipment and associated products that is purchased and exclusivily used for per- sonal, consumer type of homeowner usage, non-institutional farming or other small business use which does not include demolition, paving, bulldozing, mining, quarry operations, commercial construction, gravel yard or commercial forestry operations."
demolition: removal of razed material, like broken boards, drywall, concrete, roofing, etc... tearing out a paved driveway is considered demolition
paving: besides asphalt and concrete, rocks are considered paving
bulldozing: that's pushing earth
mining: that's digging undisturbed earth and selling any of it, rocks, sand, gravel... etc.
quarry operations: don't know the definition of quarrying
commercial construction: that's building structures for hire
gravel yard: self explanitory
commercial forestry operations: harvest of timber for lumber, firewood, other wood products for sale
That's the kinds of things you have to wonder if you do and something fails, will it be covered under warranty? Having not read too many tractor warranties, or never having to make a warranty claim on a tractor used in a business, it's just something I'd be interested in if I was purchasing a machine of any make or model.
So in the OP's original post, it's something for the potential purchaser to consider and study before purchasing, IF it is important to him. It might just be the cost of doing business. Up to him.