In Maryland, a handyman needs a home improvement license to do most repair and home improvement work, even fairly minor jobs.
Let’s explore what this means for anyone looking to offer handyman services in the state, from the types of work covered to the costs involved and how to get started.
Do You Need a License to Be a Handyman in Maryland?
The short answer is yes. A handyman or anyone else who repairs or remodels homes for pay must have a home improvement license from the Maryland Home Improvement Commission. This applies to just about everything, including:
- Alterations or additions
- Remodeling or modernization
- Fixing or replacing things like decks, patios, and fences
- Exterior or interior painting
- Other typical handyman tasks that fall within these categories
Even a “minor” project that involves repairing, enhancing, or renovating someone’s home likely falls under Maryland’s definition of home improvement and requires an MHIC license.
Exceptions
Subcontracting: If you’re working only as a subcontractor under a licensed contractor who holds the MHIC license and you never deal directly with homeowners, you could be exempt.
Basic maintenance work: Activities such as basic yard work or certain types of demolition sometimes do not require licensing, but it is always best to check with MHIC if you are unsure.
What Kind of Work Requires Additional Licensing?
If your work goes beyond basic home improvement tasks, you may need an additional (or different) license. Specifically, Maryland requires specialty licenses in the following trades:
- Electrical work: Electrical work needs an electrician’s license. Even something as simple as rewiring can’t be done without one.
- Plumbing work: Plumbing jobs like moving or replacing pipes require a plumber’s license.
- HVAC work: Whether it’s installation or repairs, it needs its own license.
- Structural changes: Structural changes, like messing with load-bearing walls, typically need both your Home Improvement license and proper building permits.
Penalties for Working Without a License
Fines and legal consequences
Taking on home improvement jobs or marketing yourself as a handyman in Maryland without proper MHIC licensing is risky business. The state takes unlicensed work seriously. You could face misdemeanor charges, thousands in fines, and in more severe cases, jail time.
Consumer rights
Working without a license puts you in a tough spot when it comes to getting paid. Maryland courts typically won’t help you collect money from customers if you did home improvement work without proper licensing.
This means if a client refuses to pay, you’ll likely have no legal way to recover those funds, leaving you vulnerable to financial losses and potential legal battles you can’t win.
Damage to reputation
In this industry, your reputation is everything. Bad news travels quickly, especially about unlicensed work. Getting properly licensed, insured, and bonded isn’t just about following the law – it’s about building trust with your customers and protecting your business’s future.
Maryland Home Improvement License Requirements
To work as a licensed contractor or handyman in Maryland, you’ll need to meet specific requirements set by the Maryland Home Improvement Commission. Here’s what you need to get started:
Basic requirements:
- Must be 18 or older with a valid government ID
- Need at least 2 years of hands-on experience in home improvement or similar trades. Experience can come from working under licensed contractors or related construction work.
Testing and background:
- Required to pass a 55-question exam through PSI testing centers. The minimum passing score is 70%.
- Must undergo a background check with fingerprinting. Your past criminal history will be reviewed (minor offenses may not disqualify you)
Business and financial requirements:
- Proof of financial stability through bank statements or credit reports
- Must carry at least $50,000 in general liability insurance
- MHIC must be listed as a certificate holder on insurance
- Required contribution to the Home Improvement Guaranty Fund (consumer protection)
Once you’ve checked all these boxes, you’ll be eligible for your Maryland Home Improvement License. This license lets you legally operate as a handyman in the state.
How to Apply for a Home Improvement License
Here’s what you need to do to get licensed:
Step 1: Register a business name
Before anything else, if you plan to use a business name or “DBA,” you must register it with Maryland’s Department of Assessments and Taxation. If you need help, call (410) 767-1330.
Step 2: Consider a licensing workshop
While you don’t have to attend, MHIC runs workshops that walk you through the licensing process. Many contractors find these sessions helpful for understanding what’s ahead.
Step 3: Pass your exam
Schedule your test with PSI Exams. You must pass this exam, which costs $63 and has 55 questions, before proceeding with your license application.
Step 4: Show financial stability
You must submit a credit report to show MHIC you’re financially sound.
Step 5: Get insured
Make sure you have liability insurance with at least $50,000 in coverage. MHIC won’t accept less.
Step 6: Complete your application
Grab the application form from either the MHIC website or Maryland OneStop. You’ll be putting together a package that includes:
- Your background check results
- Recent passport photos
- Your liability insurance certificate
- Credit report
Step 7: Pay your fees
The application fee is $370. Additionally, you will need to pay a $100 Guaranty Fund assessment fee when applying for a new license, and you must also pay a $100 Guaranty Fund assessment fee.
Step 8: Submit and wait
Once you have completed your application and gathered all required documents, submit everything to MHIC for review. Depending on workload, processing times can vary but typically range from a few weeks to a couple of months.
Step 9: Keep your license current
Got your license? Great! Keep it active by staying on top of renewals and fees, including regular Guaranty Fund payments.
Handymen License Local Requirements
Getting a handyman license in Maryland isn’t just about meeting state requirements—each area has its own rules. The Maryland Home Improvement Commission sets the foundation, but counties and cities often add their own layers of permits and regulations.
Baltimore City
If you’re doing any home improvements in Baltimore City, from basic repairs to major remodels, you’ll need that MHIC license. For bigger jobs involving structural work or major system changes, you might need extra permits too.
Your best bet is to check with the Department of Housing & Community Development through their Permits Page, where you can find everything about ePermits, submitting plans, and getting inspections.
Montgomery County
Working in Montgomery County? Like Baltimore, you’ll need that state-mandated Home Improvement Contractor License if you’re doing any residential renovations or remodeling. Keep in mind that certain jobs, especially those involving structural changes or working with electrical and plumbing systems, require additional building permits.
You can handle all that through the Montgomery County Licensing and Permits portal, which tells out exactly what work needs a permit.
Anne Arundel County
In Anne Arundel County, you’ll need to follow MHIC rules for any home improvement work – whether you’re painting, building a deck, or fixing up existing structures. While there’s no specific handyman license for the county, don’t forget to check if your project needs local permits.
The county’s Inspections and Permits page has all the details on construction and renovation permit requirements.
Cecil County
Cecil County follows the state’s MHIC guidelines, but depending on what you’re doing, you might need county-specific permits.
Your first stop should be the Department of Permits and Inspections to determine what you need. The Permits & Inspections Division webpage provides the full scoop on inspections and fees.
Carroll County
If you’re working in Carroll County, any home improvement work requires an MHIC license. Property owners can handle certain repairs themselves, but the work needs to meet the code and shouldn’t require licensed professionals.
You’ll still need proper permits for jobs involving structural changes or regulated systems. The county’s Permits and Inspections FAQs can help you figure out the permit process and code requirements.
St. Mary’s County
While St. Mary’s County doesn’t add additional licensing requirements beyond the MHIC, some projects might need county permits or plan reviews. Before starting any major or complex work, it’s worth checking structural or specialty permit requirements with the St. Mary’s County Permits office.
Allegany County
Allegany County keeps it rather simple—it doesn’t have its own trade board or local licenses for handypersons. Just make sure you meet state and specialty license requirements where needed. Some jobs might require local permits from the County for building or zoning clearance. The Allegany County License Requirements page has more details.
Are You Handy? Get Busy
People value their time more than ever, which is why so many turn over their household maintenance and repair jobs to a handyman. So if you have the skills, there’s money to be made. Home Gnome gives handymen an edge by connecting you with jobs in your area, saving you time and money and letting you focus on the work. Sign up now.
Note: Home Gnome may get a referral fee for matching you with pros in your area.
Main Image Credit: Sergii Pavlovskyi / Adobe Stock / License created using Canva Pro
Related Posts:
