(FOX40.COM) — Starting in 2025, California will increase the amount people can charge for home improvement projects by people who don’t have a contractor’s license.
According to the California Contractors State Licensing Board, the new threshold for requiring a license will increase from $500 to $1,000. This change is based on the recently passed law AB 2622.
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The change would allow unlicensed people to complete projects worth up to $1,000 as long as they don’t hire workers or require a building permit. If any of these apply, the work can only be carried out by a licensed contractor.
Under this change, the $1,000 total must be the full price of labor, materials, and all other items associated with the project. You can also advertise your rates, but you must state that you do not have a license.
These new California laws aim to improve affordability and help residents save money.
State authorities regularly conduct sting operations against unlicensed contractors.
CSLB states that if an unauthorized person estimates a project over $1,000, or performs work or hires workers without the required permits, they may face legal action, up to $15,000. fines and prison terms for repeat offenders.
CSLB reminds Californians that down payments on home improvement projects should not exceed 10% of the contract price, and subsequent payments should not exceed the value of the work completed and materials delivered. Masu.
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