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Dwelling and residence have the same basic meaning, but I think probably it should be "residence" in this exercise.
Dwelling = house or place to live in - relatively informal and not commonly used.
Residence = a more formal term for the place in which someone lives, often an official home for a public or government figure { The White House is the US President's official residence }. It is also used to indicate a large and imposing house.
Synonym - fill in exercise 
Linear Mode
