License classifications
- General Contractors board - Prime Contractor (with monetary classifications A: up to $100,000, B: up to $250,000, C: up to $500,000, D: up to $1,000,000, E: up to $3,000,000, U: Unlimited)
- General Contractors board - Subcontractor license
- Home Builders board - Unlimited residential license
- Home Builders board - Limited residential license
- Home Builders board - Roofers license
How to get licensed in Alabama
- Determine which board applies: General Contractors board for commercial/general work $50,000+ (pools $5,000+); Home Builders board for residential work over $10,000
- For residential: download the free application package from hblb.alabama.gov (or pay $25 for a mailed package)
- Register for and pass the required exams through Prov (provexam.com) for an Unlimited license, or provide a local business/occupational contractor license for a Limited or Roofers license
- Submit financial responsibility documentation (credit report sent directly from a credit-reporting agency), or a $10,000 bond for a Roofers license
- Provide entity documents if a corporation/LLC/partnership (Certificate of Compliance from the Alabama Department of Revenue and notarized minutes naming the qualifying representative) plus proof of citizenship/lawful presence
- Submit the completed application with the $100 processing fee and applicable license fee; allow approximately 3 to 4 weeks for review and Board consideration
Frequently asked questions
Do I need a state license to build homes in Alabama?
Yes. A residential home builder license from the Alabama Home Builders Licensure Board is required whenever the cost of construction, remodeling, repair, or improvement of a residence (labor and materials) exceeds $10,000.
What is the difference between the two Alabama contractor boards?
The Alabama Licensing Board for General Contractors handles commercial and general construction (projects of $50,000 or more, or pools of $5,000 or more). The Home Builders Licensure Board handles residential home building over $10,000. Which license you need depends on the type of work.
Do I have to take an exam for a home builder license?
For an Unlimited residential license, yes: you must pass the Alabama Home Builders Business & Law exam (score of 70) and Skills exam (score of 66) through Prov. A Limited or Roofers license does not require the exams if you provide a qualifying local contractor license.
How much does the home builder application cost?
There is a $100 non-refundable processing fee, and a mailed application package costs $25 (or you can download it free). The board's FAQ does not list a separate flat license issuance fee amount.
Is there insurance or bonding required for residential home builders?
The residential home builder law does not require insurance. No bond is required for Unlimited or Limited licenses, but a Roofers license requires a $10,000 License/Permit Bond naming the Board as obligee.