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What license should I have?

New JerseyLicenses

I am a contractor that works in NJ, and works on finish carpentry on newly set modular homes. I have a NJ Home Improvement Contractors registration. I was recently informed that this registration is for remodeling / renovation work on existing residential homes, not new construction. What license / registration would be appropriate then?

7 replies

Mar 27, 2023

You should continue to maintain your Home improvement contractor's license. Depending on how the initial contract is structured, you might be considered a "home improvement contractor" when you are doing your work. Do you typically work as a subcontractor for a general contractor when you are working on these homes?

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Mar 27, 2023

Thanks for the reply Lawrence. 

Typically I am contracted by the homeowner for the work. 

Contractually I am not concerned. It is what the state of NJ view would be. The NJ DCA site does state that the HIC registration is not for new construction, so I am unsure as to where this work actually falls in that regard. 

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Mar 27, 2023

I’m happy to respond to your question. You must register under the New Jersey New Home Warranty and Builders’ Registration Act, N.J.S.A. sec. 46:3B-1, et seq.

Here (by links) is your answer, procedure and form in full detail:

https://www.state.nj.us/dca/divisions/codes/forms/pdf_nhw/nhwprenew.pdf

https://www.nj.gov/dca/divisions/codes/offices/nhw_for_builders.html

As other questions, issues or needs arise, you are welcome to call me at (914)412-7261 direct with voicemail or email to tcamp@maringoodman.com. I am based in Berkeley Heights, NJ and have been in practice for over three decades.

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Mar 27, 2023

Addendum: The Anonymous Contractor has since contacted me directly, offered additional comments, and we are pursuing verification with the Division of Consumer Affairs, to which I have submitted inquiry.

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Mar 28, 2023
If you work for the homeowner, as opposed to a general contractor, I think you are properly considered a “Home Improvement Contractor.” I don’t think you would be considered a new home builder-that is typically the company that builds the entire home. There are new home warranty obligations that I don’t think you need to worry about.
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Mar 28, 2023

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Mar 29, 2023

 I actually reached out to the Department of Community Affairs
on this since the contractor was being challenged for having only a Home
Improvement Contractor license. The Bureau Chief for Homeowner Protection at
the Department was kind enough to get back to me in less than a day. Mr. Fahy
there confirms that the carpenter working as a subcontractor for a general
contractor new home builder need not be registered himself as a New Home
Builder. I would add that the subcontractor, if organized as a business, should
be registered to do business with the Department of Treasury in NJ. And the
subcontractor should also contact the local municipality - either the Town
Clerk or the Construction Official - to see if there are any local requirements.
But Mr. Fahy appears to clear up the State-level issue, here [all that follows
from his email to me]:
 

From: Fahy, Jim [DCA] Jim.Fahy@dca.nj.gov Sent: Tuesday,
March 28, 2023 12:01 PM To: Terence W. Camp
tcamp@maringoodman.com

Subject:
New Home construction question
 

Terence W. Camp,  

The carpenter working as a subcontractor for the
GC does not have to be a registered new home builder since the
carpenter/subcontractor will not be providing the new home warranty.
  

All builders of new homes, including single
family, townhouse, duplex (two-family), cooperative, condominium,
factory-built, and modular residences are required to register with the New
Home Warranty Program. A builder is any individual or organization in the
business of constructing new homes, including anyone who constructs a new home
for sale, acts as prime contractor to construct a new home for himself/herself
or for another person, contracts with a general contractor for construction of
a new home, or sells or transfers title to land and then participates in the
construction of a new home. It does not include a person who constructs a new
home for his/her own personal use, a licensed architect, engineer, or attorney,
or someone who contracts with a licensed architect, engineer, or attorney to
provide professional services related to the construction of a new home.
  

Additional information about the New Home Builder
Registration and New Home Warranty for Builders can be found at:
  

NJ
Department of Community Affairs

Jim Fahy  

James F. Fahy  

Bureau Chief  

Department of Community Affairs  

Bureau of Homeowner Protection  

609-984-7905  

  

   

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