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How to become a licensed general contractor in Maryland. State-level licensing required. Experience: 2 years. Total initial fees: $533. Verified 2026-03-22. Data verified 2026-03-22. Source: LicenseMap (getlicensemap.com).
General Contractor
Yes
License Required?
2 years
Experience Required
Yes
Bonding Required?
$533
Total Initial Fees
2 years
Renewal Period
0 hrs
CE Hours
Description
MHIC License for home improvement on EXISTING residential property (repairs, alterations, additions). This is NOT for new construction.
Project Limit
License required for projects over $500
Additional Requirements
Description
Home Builder Registration for NEW home construction, administered by the Attorney General's Office. Separate from MHIC license. Contractors doing BOTH remodeling AND new construction need BOTH credentials.
Project Limit
License required for projects over $500
Additional Requirements
Description
MHIC eliminated the subcontractor license category as of July 1, 2016. Subcontractors may work without a license when performing work for an MHIC-licensed contractor. Marine contractors have a separate Marine Contractors Licensing Board.
Additional Requirements
Experience & Documentation
Verified2
Years Required
Required
Documented Project History
Journeyman/Trade Experience
2 years in home improvement, construction, or related education. 1 year of education/business management experience may substitute for 1 year of trade experience.
Alternative Pathways (Education Substitutions)
Exam Requirements
VerifiedRequired
Trade Exam
Not Required
Business & Law Exam
Exam Provider
PSI Exams
Passing Score
70%
Open Book
Yes
Trade Exam Details
MHIC exam: 2.5 hours, open book. Tests regulatory understanding and business management — NOT skills-based. Must pass exam BEFORE applying for license.
Business & Law Exam Details
Included in the MHIC exam (single combined exam)
Retake Policy
May retake after failing. $63 per attempt.
Bonding Requirements
VerifiedSurety Bond Required
$30,000
Surety Bond Amount
Bond Types
Surety bonds protect consumers by providing financial recourse if a contractor fails to complete a project or violates licensing regulations. Bond costs are typically 1-3% of the bond amount annually.
Insurance & Workers' Comp
VerifiedRequired
General Liability
Required
Workers' Compensation
Minimum Coverage
$50,000 minimum GL insurance required per MHIC. Note: Some sources incorrectly cite $500,000 — the official MHIC requirement is $50,000.
Additional Insurance Requirements
Workers' Comp Threshold
Required for employers with 1 or more employees
Workers' Comp Details
Maryland requires workers' compensation insurance for employers with 1 or more employees. Sole proprietors may be exempt but coverage is recommended.
| Fee | Amount |
|---|---|
Application Fee Increased effective August 1, 2024. Additional $100 Guaranty Fund payment for original licenses. | $370 |
Exam Fee Per attempt | $63 |
License Fee Initial license/processing fee. Increased effective August 1, 2024. | $370 |
Renewal Fee Biennial renewal. Plus $175 Guaranty Fund = $425 total renewal cost. Fees increased August 1, 2024. | $250 |
Total Initial Fees $370 initial license + $63 exam + $100 Guaranty Fund = $533. Fees effective August 1, 2024. | $533 |
Renewal & CE Requirements
Verified2 years
Renewal Period
0 hrs
CE Hours Required
Renewal Fee
$250
Plus $175 Guaranty Fund = $425 total biennial renewal.
Regulatory Board
Contractor licenses must be renewed on schedule. Many states require continuing education covering building codes, safety practices, business law, and energy efficiency standards.
Out-of-State Reciprocity
VerifiedDoes Not Accept Out-of-State Credentials
ICC Certification Not Accepted
Reciprocity Type
Full application required
Transfer Details
MHIC does not offer reciprocity with any state. NASCLA is not accepted. Out-of-state contractors must complete the full application process.
General contractor license reciprocity varies significantly by state. Some states recognize ICC certifications, while others require passing the state exam regardless of prior credentials. Always verify current policies with the state licensing board.
Maryland has a complex multi-track system: MHIC License (existing residential), Home Builder Registration (new construction, AG's Office), and commercial (local only). Subcontractor license was eliminated in 2016. MHIC exam must be passed BEFORE applying. GL minimum is only $50,000 (unusually low).
Maryland has a multi-track contractor system: MHIC License (home improvement on existing residential), Home Builder Registration (new construction via AG's Office), and Commercial Contractor (local level only).
MHIC subcontractor license category was eliminated July 1, 2016. Subcontractors may work without a license under an MHIC-licensed contractor.
MHIC mandatory regardless of project size for: underpinning, foundation work, interior demolition.
Fees increased effective August 1, 2024. Guaranty Fund max claim: $30,000 per homeowner.
Montgomery County exception: new home builders exempt from state registration but must be licensed locally.
Penalties for unlicensed work: misdemeanor, up to $1,000 fine or 30 days imprisonment (first conviction).
Marine contractors have a separate Marine Contractors Licensing Board.
Lien Law Basics
Preliminary Notice: Required
Lien Deadline: 180 days after completion
Maryland construction lien law: Preliminary notice is required to preserve lien rights. Lien filing deadline: 180 days after completion.
Explore requirements for other professional licenses in Maryland.
How this state compares to 50 others for this profession
Timeline
#27 of 51
Salary
#30 of 51
Cost
#31 of 51
Processing
#1 of 51
Based on May 2024 Bureau of Labor Statistics OEWS data for First-Line Supervisors of Construction Trades and Extraction Workers (SOC 47-1011)
Entry Level
$63,150
25th percentile
Median
$76,800
-2% vs. national avg ($78,690)Experienced
$99,300
75th percentile
Wage Distribution (Annual)
15,850 employed in this state
Note: BLS category "First-Line Supervisors of Construction Trades" is broader than general contractors specifically. It includes supervisors across all construction specialties.
Source: BLS OEWS – First-Line Supervisors of Construction Trades and Extraction Workers (May 2024)
National employment projections for 2024-2034
Projected Growth
+5.5%
Average GrowthNew Jobs
+40,500
over 10 years
Annual Openings
55,200
per year (avg.)
729,900 currently employed nationwide (2024)
Source: BLS Employment Projections 2024-2034 (September 2025)
Electrical Career Ladder+17% salary growth potential
You are here
Electrical Contractor
$76,800
Master electrician license + contractor license
Apprenticeship (4-5 years) + journeyman exam
$65,650
You are here
Electrical Contractor
Master electrician license + contractor license
$76,800
Salary data from BLS OEWS May 2024 for this state. Career paths represent common advancement routes — actual progression may vary. Bureau of Labor Statistics — Occupational Outlook Handbook
Government fees and exam costs to obtain your initial license
Note: These are government licensing fees only. Education/training program costs (tuition, books, etc.) are not included as they vary widely by institution.
Estimated total: 112–126 weeks
Timeline estimated from licensing requirements on this page.
Source: Maryland Contractor Licensing
4–12 weeks
Estimated processing time
Source: Maryland Contractor Licensing
Study guides and practice tests for the general contractor licensing exam.
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Accessed 2026-03-22
Maryland requires state-level contractor licensing. 2 years of experience is required. All licensing is managed through the Maryland Home Improvement Commission.
Requirements vary by state and local jurisdiction. Always verify current requirements with your state or local licensing authority.