MD Permit GuideAnyone who contracts directly with a homeowner for home improvement work in Maryland (alteration, remodeling, repair or replacement of a residence, including individual condo units) needs a contractor license from the Maryland Home Improvement Commission (MHIC). Subcontractors working for an MHIC-licensed contractor no longer need their own license (that category ended July 1, 2016), but only licensed contractors can sign contracts with homeowners.
Steps to get licensed
- Pass the MHIC exam. PSI administers it: 55 questions, two hours, by computer, 70% to pass. Testing centers are in Baltimore, College Park, Salisbury, Frederick, Hagerstown, Lanham and Crofton. Register with PSI at 1-800-367-1565 (MHIC exam page). A prep course is optional.
- Apply within two years of passing, or the score expires.
- Submit the original license application with a personal financial statement. If you don't meet MHIC's financial solvency guidelines, you can use an indemnitor or a surety bond (application and forms).
- Carry general liability insurance of at least $500,000. This has been required since June 1, 2024 (Business Regulation §8-302.1).
- Pay the fees (below). Licenses are issued as PDFs by email.
Fees
| Item | Amount | Source |
|---|---|---|
| Exam fee (paid to PSI) | $63 per attempt, as listed on the MHIC exam page (confirm with the office) | MHIC |
| Contractor application fee | $281.25 per place of business | COMAR 09.08.07.02 |
| Application processing fee | $22.50 | COMAR 09.08.07.02 |
| Guaranty Fund assessment, original license | $100 (two years) | MHIC |
| Salesperson application fee | $112.50 | COMAR 09.08.07.02 |
Fees rose on Aug 1, 2024. Totals depend on how many places of business you have, so price your own application from the official schedule.
Renewing your license
- Licenses run for two years. Each licensee has a personal renewal date, and MHIC sends a renewal notice about 60 days before expiration. If you haven't heard anything 30 days before your license expires, contact MHIC.
- Renew online and pay by card, or mail the form with a check or money order (renewal page).
- Contractor renewal fee: $281.25 per place of business. Guaranty Fund renewal assessment: $175 every two years.
- Inactive status: $56.25 to apply, then $126.75 per renewal for contractors.
Do I also need a county license?
Often, yes. Trade work (electrical, plumbing, HVACR) has its own state or local licensing, and some counties issue their own licenses. See our MHIC vs. county license explainer and your county page, for example Montgomery, Prince George's, Baltimore County, Anne Arundel, Howard or Baltimore City.
Contact MHIC
100 S. Charles Street, Tower I, Baltimore, MD 21201 · 410-230-6231 · 1-888-218-5925 · [email protected]. In-person visits are by appointment only.
Official sources
- https://labor.maryland.gov/license/mhic/ (checked Oct 16, 2026)
- https://labor.maryland.gov/license/mhic/mhicexam.shtml (checked Oct 16, 2026)
- https://labor.maryland.gov/license/mhic/mhicapply.shtml (checked Oct 16, 2026)
- https://labor.maryland.gov/license/mhic/mhicrenew.shtml (checked Oct 16, 2026)
- https://dsd.maryland.gov/regulations/Pages/09.08.07.02.aspx (checked Oct 16, 2026)
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