OBJECTIVE ASSESSMENT - EXAM
NYC Home Improvement Exam - 2026/2027
75 100%
QUESTIONS VERIFIED ANSWERS EDITION
TOPICS COVERED
NYC Home Improvement Business Law Permits & Zoning Compliance
Licensing Requirements & Exemptions Trust Fund & Surety Bonds
Contracts & Cancellation Rights Consumer Protection Rules
Advertising Rules & Regulations Penalties & Enforcement
COVER PAGE - 1
, SECTION 1 | Basics of NYC Home Improvement Business Law | Q1-Q20 | NYC Home Improvement Exam - 2026/2027
Q1 Question 1 of 75
A contractor in Queens is considering whether to obtain a DCWP license before starting a
kitchen renovation business. The contractor plans to perform remodeling work on residential
properties throughout New York City. According to NYC law, which statement accurately
describes the licensing requirement for this contractor?
A. Any person who solicits, sells, performs, or obtains home improvement contracts as a contractor must
have a DCWP license
B. Only contractors working on projects exceeding $10,000 are required to obtain a DCWP license
C. The contractor does not need a license if they already hold a Department of Buildings permit
D. A DCWP license is only required for contractors who employ more than three workers
Correct Answer: A
Rationale:
According to NYC law, any person who solicits, canvasses, sells, performs, or obtains a home improvement contract
as a contractor must have a DCWP license. There is no dollar threshold, DOB permit exemption, or employee count
minimum. All contractors performing home improvement work must be licensed.
Q2 Question 2 of 75
A homeowner in Brooklyn hires an unlicensed contractor to install new windows for $5,000. The
contractor completes the work but the windows leak during the first rainstorm. The homeowner
discovers the contractor was never licensed. Which penalty can DCWP impose on this
unlicensed contractor?
A. DCWP can padlock the business and confiscate tools and trucks used in the unlicensed work
B. DCWP can only issue a warning letter since the work was already completed
C. The homeowner has no recourse because they voluntarily hired the contractor
D. The contractor faces only a $50 civil fine for the first offense
Correct Answer: A
Rationale:
DCWP can padlock (close down) and confiscate tools and trucks used in connection with unlicensed home
improvement work. Unlicensed contracting is a misdemeanor punishable by up to 6 months imprisonment and/or
$1,000 in fines, plus civil fines up to $100 per day. The homeowner has significant recourse under consumer protection
law.
ome Improvement Exam (Latest Update 2026/2027) Examination Guide Questions with Verified Answers | Grade A | 100% Correct 2026/2027 | Passing Score: 80% | Page 2
, Q3 Question 3 of 75
A plumbing company in the Bronx wants to subcontract electrical work for a bathroom
renovation project. The plumbing company holds a valid DCWP license. Which statement about
the subcontractor's licensing requirement is correct?
A. The subcontractor performing electrical work must also have a DCWP license in addition to their
electrician's license
B. The subcontractor only needs their DOB electrician's license and does not need a DCWP license
C. The prime contractor's DCWP license covers all subcontractors automatically
D. Subcontractors are exempt from all licensing requirements if they work under a licensed prime contractor
Correct Answer: A
Rationale:
A subcontractor, as opposed to an employee, must have a DCWP license to perform home improvement work in NYC.
While licensed electricians have their DOB craft license, they still need a DCWP home improvement contractor license
when performing home improvement work as a subcontractor. The prime contractor's license does not cover
subcontractors.
Q4 Question 4 of 75
A contractor is hired to pave a driveway, install a fence, and build a patio for a residential home
in Staten Island. The homeowner asks whether all of this work falls under the home
improvement definition. Which of these items is included in the NYC definition of home
improvement?
A. Driveways, fences, patios, and landscaping are all included in the home improvement definition
B. Only the driveway and fence are included; patios and landscaping are excluded
C. Only interior work such as kitchens and bathrooms qualifies as home improvement
D. Landscaping and patios are considered capital improvements, not home improvements
Correct Answer: A
Rationale:
Home improvement includes construction, repair, replacement, remodeling, alteration, and improvement to any land or
building used as a residence. This specifically includes basements, driveways, fences, garages, landscaping, patios,
porches, sidewalks, swimming pools, and terraces.
ome Improvement Exam (Latest Update 2026/2027) Examination Guide Questions with Verified Answers | Grade A | 100% Correct 2026/2027 | Passing Score: 80% | Page 3
, Q5 Question 5 of 75
A painting contractor in Manhattan is hired to paint the interior of a residential apartment. No
other home improvement services are being provided. The contractor asks whether a DCWP
license is required for this work. Which response is correct?
A. A DCWP license is not required when painting or decoration is the only service provided
B. A DCWP license is required for all painting work regardless of whether other services are provided
C. A DCWP license is only required for exterior painting, not interior painting
D. The contractor needs a DOB permit but not a DCWP license for painting work
Correct Answer: A
Rationale:
Painting or decoration of a building, residence, home, or apartment when no other home improvement services are
provided is explicitly excluded from the definition of home improvement. However, if painting is combined with other
home improvement work, a DCWP license is required.
Q6 Question 6 of 75
A contractor moves their business office from Queens to Brooklyn and changes their business
telephone number. According to DCWP requirements, within how many days must the
contractor notify DCWP of this change of address?
A. The contractor must notify DCWP within 10 days of changing the business address
B. The contractor must notify DCWP within 30 days of changing the business address
C. The contractor must notify DCWP within 60 days of changing the business address
D. The contractor only needs to notify DCWP at the time of license renewal
Correct Answer: A
Rationale:
A contractor must notify DCWP within 10 days of any change of ownership, business name, or business location.
Failure to notify DCWP is a violation that can result in penalties. Waiting until renewal is not acceptable.
ome Improvement Exam (Latest Update 2026/2027) Examination Guide Questions with Verified Answers | Grade A | 100% Correct 2026/2027 | Passing Score: 80% | Page 4