Alabama Contractors License Exam and Builders Licenses

You have made an excellent career move by deciding to get your Alabama Contractor’s License. Alabama is receiving a lot of positive publicity regarding its beauty and affordability, and most of all the number of people moving into the state continues to increase. It’s a great time to get licensed and reap the benefits.

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Who Needs a License?

According to the Alabama Code, anyone who constructs, supervises the construction of, repairs, or improves a residential building requires a builder’s license. If the cost of the project is less than $10,000 dollars or if the building is the owner's personal residence or real estate holding, a license is not required in this case. Obtaining your Alabama Residential Contractor License allows you to be compensated for your work.

How to Acquire Your Alabama Builders License

The following are the requirements to obtain your Alabama Residential Builders license:

  1. Complete a Residential Alabama Builders License application. Applications can be obtained from:
    Home Builders Licensure Board
    445 Herron Street
    Montgomery, AL 36130
    (334) 242-2230
  2. Successfully complete the Alabama contractor’s license exam
  3. Order a business-related credit report, including a public records search. (The form to order this report is provided in your application packet from the Home Licensure Board.)
  4. Submit the builder license application fee and supporting documents to the Alabama Home Licensure Board.
  1. Register to take the Alabama builders license exam. Do this as soon as you receive your study course.  Registration should be done 2 weeks in advance.

The State of Alabama currently uses PSI Examination Services to administer the builders test. There are 4 ways to register for the Alabama Home Builder Exam:

  1. Internet - Log onto and register for the Alabama licensing examination.
  2. Standard Mail - Completely fill out the PSI Registration Form and mail to PSI with the appropriate examination fee.
  3. Fax - Completely fill out the PSI Registration Form and fax to PSI at (702) 932-2666.
  4. Telephone - Call PSI at (800) 733-9267, 24 hours a day and schedule using the Automated Registration System or between 9:00 A.M. to 8:00 P.M. ET

Alabama Contractor’s license exams are given at the following 4 locations:

  • Birmingham
  • Huntsville
  • Mobile
  • Montgomery

Examinations are also given at 4 regional testing centers located in:

  • Jackson, MS
  • Metaire, LA
  • Baton Rouge, LA
  • Shreveport, LA

Taking the Alabama Contractors License Exam

You have studied diligently and are ready to take the Alabama builders license exam. You can arrive with confidence knowing that you are prepared for whatever questions may appear on the test.  To be successful you must:

  • Arrive 30 minutes prior to your scheduled testing time.
  • Present two (2) valid forms of identification when you arrive at the testing center.
  • Name on the application must exactly match the name on the photo ID used to check in
  • Bring a non-programmable calculator.
  • You must answer at least 54 of the 80 questions correctly.
  • Have a minimum passing score of 67.5%.
  • Once you have completed the test, your score will immediately be displayed on the computer screen and a printed copy of your results will be given to you.

Receiving Your Alabama Contractors License

After you have completed the test, your score will immediately be displayed on the computer screen and a printed copy of your results will be given to you. Your test results will be sent to the Alabama Home Builder Licensure Board. Once you have submitted your application, the Board will then issue your contractor license to practice as a general contractor.

Traps to Avoid

It is a common misconception that since the Alabama builders license exam is open book; it is not difficult to pass. In reality the contractors test is more difficult to pass than closed book exams due to the fact that you have books available as a resource during the contractor exam. You are permitted to bring certain reference materials into the exam.

The reference materials may be:

  • Highlighted, underlined, or indexed to assist you in finding information quickly.
  • The books may not be written in and may not contain any additional papers.
  • Do not use sticky notes or Post Its to index your books.  They are not permitted and you will be asked to remove them at the test center.
  •  You are required to bring your own reference materials because they are not available at the testing center.

We recommend purchasing the following reference books and using them together with our course to give you the greatest chance of passing the builders license test the first time. The following books are allowed into the Alabama construction license exam:

  • NASCLA Business and Project Management, Alabama Builder Licensure Board
  • International Residential Code
  • Carpentry and Building Construction
  • Code of Federal Regulations - 29 CFR Part 1926 (OSHA)
  • Contractors Guide to Quality Concrete Construction
  • The Guide to Good Practice for Handling, Installing & Bracing of Metal Plate Connected Wood Trusses
  • Pipe and Excavation Contracting
  • Modern Masonry

If you forget the answer to a question during the builder’s license exam, having these reference books will allow you to quickly find the answer and complete the Alabama construction license exam within the time allowed.

In construction the saying, “Do it right the first time” is often heard. We believe it also applies to getting your Residential Builders License.