Exam Cheat Sheet · Quick Reference

Maryland Home Improvement Salesperson (MHIC)

Maryland

Verified, not estimated. Every figure below is drawn from the official exam structure we maintain — question counts, passing standard and topic weighting. Practice questions are grounded in the source law with statute citations. We omit any figure we can't verify rather than guess at it.

Total questions

Passing score

70%

Exam time

90 min

Format

Reference materials allowed

Maryland State Portion 35 questions

Home Improvement Law 25 Q · 71%

Definition of home improvement and scope of the law (included and excluded work)Maryland Home Improvement Commission structure, authority, and operationsContractor and salesperson licensing requirements, exemptions, and application processHome Improvement Guaranty Fund claims, eligibility, award limits, and contractor reimbursementHome improvement contract required elements and consumer protectionsProhibited acts, civil penalties, and criminal penalties under the Home Improvement LawMaryland Door-to-Door Sales Act cancellation rights and notice requirementsSalesperson conduct, contractor-salesperson relationships, and advertising requirements

Door-to-Door Sales Act 10 Q · 29%

Definition of door-to-door sale and key statutory termsTransactions exempt from the ActCancellation rights and deadlines for home improvement contracts (including age-based extensions for buyers 65+)Required content and form of the Notice of CancellationSeller disclosure and identification requirements at initial contactSeller obligations upon receipt of a valid cancellation noticeUnlawful practices constituting unfair or deceptive trade actsCivil liability and criminal penalties for violations

Key Distinctions

Buyer under 65 (Door-to-Door cancellation)vsBuyer 65 or older (Door-to-Door cancellation)

A buyer under 65 has 5 business days to cancel a door-to-door home improvement contract, while a buyer who is at least 65 years old has 7 business days to cancel.

Maryland Home Improvement Law and Regulations, Subtitle 5 - Maryland Door-to-Door Sales Act

First conviction (unlicensed contracting)vsSubsequent conviction (unlicensed contracting)

A first conviction for acting without an MHIC license carries up to 6 months incarceration and a $1,000 fine, while each subsequent conviction carries up to 2 years incarceration and a $5,000 fine.

Maryland Home Improvement Law and Regulations, Subtitle 6 - Prohibited Acts and Penalties

Notice of Cancellation (standard door-to-door sale)vsNotice of Cancellation (home improvement contract)

For a standard door-to-door sale the Notice of Cancellation is attached to the contract, but for a home improvement contract it must be on a separate form that is not part of the contract.

Maryland Title 14, Subtitle 3, Section 14-302.1(2)(i)

Salesperson representing one contractorvsSalesperson representing two contractors

A salesperson may represent up to two contractors simultaneously with proper certified-mail notice to each, but during any single sales presentation may represent only one contractor.

Maryland Home Improvement Law and Regulations, §8-310

Home Improvement Guaranty Fund claim (licensed contractor)vsHome Improvement Guaranty Fund claim (unlicensed contractor)

The Guaranty Fund only compensates homeowners for losses caused by licensed contractors; claims arising from work done by an unlicensed contractor are denied.

Maryland Home Improvement Law and Regulations, Subtitle 4 - Home Improvement Guaranty Fund

Emergency exemption from Door-to-Door Sales ActvsStandard door-to-door home improvement contract

A sale initiated by the buyer due to a bona fide personal emergency—where the buyer provides a handwritten, signed, dated waiver and the seller makes a substantial beginning of performance—is exempt from cancellation requirements, while a standard solicited contract is fully subject to them.

Maryland Door-to-Door Sales Act, §14-301.1(3)

Home Improvement Law applicability (private parties)vsHome Improvement Law applicability (government entities)

The Home Improvement Law applies to transactions between private parties, but explicitly does not apply when one party is the United States, a state, or any instrumentality or political subdivision of a state.

Maryland Home Improvement Law and Regulations, §8-102

Contractor license requirement (trade experience)vsPassing the exam alone

An applicant for a contractor license must have at least 2 years of trade experience or comparable educational training in addition to passing the exam; passing the exam alone is insufficient.

Maryland Home Improvement Law and Regulations, §8-302.2

Goods pickup period after cancellation (20 days)vsDeposit refund period after cancellation (10 business days)

After receiving a valid cancellation notice, a seller has 20 days to retrieve goods left at the buyer's residence before the buyer may retain or dispose of them, but must refund all payments within 10 business days of receiving the notice.

Maryland Door-to-Door Sales Act, §14-302(7)

Dishwasher connection to existing exposed plumbing (no alteration)vsDishwasher installation requiring plumbing line alteration

Connecting a dishwasher to existing exposed household plumbing lines without alteration is included in the definition of home improvement, but if the installation requires altering those lines it is excluded from the definition.

Maryland Home Improvement Law and Regulations, §8-101(g)(2)(iii) and §8-101(g)(3)(iii)

Exam retest wait after first failurevsExam retest wait after subsequent failures

A candidate must wait at least 30 days before retaking the exam after a first failure, but must wait 60 days before each subsequent retake attempt.

COMAR 09.08.01.16(C) / Summary page 1-6

Guaranty Fund claim up to $7,500vsGuaranty Fund claim exceeding $7,500

For claims not exceeding $7,500, the Commission may issue a proposed order to pay all or part of the claim without scheduling a formal hearing, whereas larger claims require a full hearing process.

Maryland Home Improvement Law and Regulations, Subtitle 4 - Home Improvement Guaranty Fund ($7,500 proposed order provision)

Key Terms

Door-to-Door Sale Minimum Threshold Maryland Door-to-Door Sales Act, §14-301(d)

Under Maryland Door-to-Door Sales Act §14-301(d), a transaction qualifies as a door-to-door sale only if the purchase price is $25 or more and the seller personally solicits the sale at a location other than the seller's place of business.

Purchase Price (Door-to-Door Sales Act) Maryland Door-to-Door Sales Act, §14-301(h)

Under §14-301(h), purchase price means the total amount paid or to be paid for consumer goods or services, including all interest and service charges, used to determine whether the $25 threshold is met.

Senior Cancellation Period Maryland Door-to-Door Sales Act, §14-302.1(1)-(2)

Under Maryland Door-to-Door Sales Act §14-302.1(1)-(2), a buyer who is at least 65 years old has until midnight of the seventh business day after a door-to-door home improvement contract is signed to cancel without penalty.

Maximum Deposit Rule Maryland Home Improvement Law and Regulations, Subtitle 5 - Deposit and Payments

Under Maryland Home Improvement Law Subtitle 5, a contractor may not accept more than one-third (1/3) of the total contract price as a deposit before work begins.

Salesperson Dual-Representation Limit Maryland Home Improvement Law and Regulations, §8-310

Under §8-310, a salesperson may represent no more than two contractors simultaneously, but may only represent one contractor during any single sales presentation.

Commission Residence Requirement Maryland Home Improvement Law and Regulations, §8-202(b)

Under §8-202(b), each member of the Home Improvement Commission must have been a citizen and resident of Maryland for at least five years before appointment.

License Renewal Denial Hearing Request Deadline Maryland Home Improvement Law and Regulations, §8-305(b)

Under §8-305(b), an applicant whose license renewal is denied must request a hearing within 10 days after the notice of denial is mailed, after which the Commission must hold the hearing within 30 days.

Change of Information Notification Deadline Maryland Home Improvement Law and Regulations, §8-309

Under §8-309, a licensee must notify the Commission within 10 days of any change in ownership control, management, address, or trade name.

Guaranty Fund Reimbursement Interest Rate Maryland Home Improvement Law and Regulations, Subtitle 4 - Home Improvement Guaranty Fund (reimbursement and interest provisions)

Under Maryland Home Improvement Law Subtitle 4, after the Commission pays a Guaranty Fund claim, it is entitled to reimbursement from the contractor in the amount paid plus interest at an annual rate of ten percent.

Commission Office Location Maryland Home Improvement Law and Regulations, §8-204(e)

Under §8-204(e), the Maryland Home Improvement Commission is statutorily required to maintain its office in Baltimore City.

Exam Score Validity Period Maryland Home Improvement Law and Regulations, Subtitle 3 - Examinations (score validity)

Under Maryland Home Improvement Law Subtitle 3, a passing exam score is valid for two years; if no license application is filed within that period the exam must be retaken.

Home Improvement (definition exclusions) Maryland Home Improvement Law and Regulations, §8-101(g)

Under §8-101(g)(3)(i), construction of a new home is specifically excluded from the definition of home improvement under Maryland law.

Door-to-Door Sales Act Criminal Penalty Maryland Door-to-Door Sales Act, §14-305

Under §14-305, willful violation of the Maryland Door-to-Door Sales Act is a misdemeanor punishable by a fine of up to $1,000 or imprisonment of up to one year, or both.

Seller Identification Disclosure at Solicitation Maryland Door-to-Door Sales Act, §14-302(10)

Under §14-302(10), before making any statement other than a greeting at a buyer's residence, a seller must verbally disclose their identity, trade name, and type of goods or services offered, and must also physically display identification showing their name, trade name, and business address.

Civil Damages for Door-to-Door Violation Maryland Door-to-Door Sales Act, §14-304

Under §14-304, any person who violates the Door-to-Door Sales Act is civilly liable to the affected party for all damages proximately caused by the violation and for reasonable attorney fees.

Home Improvement Commission Criteria for 'Home Improvement' Maryland Home Improvement Law and Regulations, Subtitle 1 - Definitions and General Provisions (Commission interpretation criteria)

The Commission interprets home improvement as work that both adds value to the residence and would typically remain as part of the property if it were sold to a new owner.

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