Beacon Impact

Reforming the Home Improvement Contractors License

In a time with 40-year high inflation and 20-year high mortgage rates, many people and families cannot afford to buy a new home. Here in Tennessee the problem is even worse as Tennessee had the 4th highest increase in home prices in the nation.

As a result, some may look to renovate or remodel a kitchen or other portion of their current home to better fit their needs until they can afford a new home. But finding someone to do the remodel is becoming more difficult due to arbitrary government restrictions.

Tennessee has two licenses for these types of projects: the general contractor and the home improvement contractor. The home improvement contractor is limited to projects up to $24,999, while the general contractor, who generally focus on building new homes and other larger projects can do projects from $25,000 and up.

With the increased price of construction materials and costs associated with home renovation, the size of a project that a home improvement contractor can assist with has become substantially smaller. Homeowners are forced to bring in general contractors who are in short supply to do work that a home improvement contractor could have done. This arbitrary government restriction should at least be adjusted for today’s prices and indexed as inflation continues to soar.

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Director of Government Relations
(731) 819-1853


Director of Policy and Research
(770) 880-3231


Executive Vice President
(615) 556-7192