🏡 Do You Have to Put Down Earnest Money When Buying a Home in Ohio?

What Ohio Homebuyers Need to Know in 2025

Yes, most homebuyers in Ohio are expected to put down earnest money when making an offer—although it’s not legally required.

Earnest money shows the seller you're serious and helps secure the home while your financing, inspection, and closing details are finalized.

Let’s break down what this means for you as a buyer in today’s market.

❓What Does Earnest Money Mean When Buying a Home in Ohio?

Earnest money is a deposit made when your offer is accepted on a home. It’s a way of showing the seller you’re committed—and helps “hold” the property while the sale is in process.

Think of it as a sign of good faith. The money is held in escrow and later applied toward your down payment or closing costs when the deal closes.

❓Do You Have to Pay Earnest Money in Ohio?

No, earnest money isn’t required by law in Ohio. But in practice, most sellers—and their agents—expect it.

In a competitive market, offers without earnest money may appear weaker, especially when other buyers include it in their offers. In slower markets, there may be more room to negotiate.

💵 How Much Earnest Money Do Buyers Typically Pay in Ohio?

There’s no set amount, but most buyers in Ohio put down 1% to 2% of the purchase price.

Example:

• On a $250,000 home, a typical earnest money deposit would be $2,500–$5,000.

👉 It’s negotiable based on the market, the property, and your offer strategy.

🔐 What Happens to Your Earnest Money After You Pay It?

Your deposit goes into an escrow account—usually held by the listing brokerage or title company.

• ✅ If the transaction closes: it’s applied to your down payment or closing costs

• ❌ If the deal falls through: whether you get it back depends on the terms of your contract

📌 Tip: Most Ohio real estate contracts include contingencies that protect your deposit (like inspection or financing).

🤔 Can You Buy a House in Ohio Without Paying Earnest Money?

Technically, yes—you can make an offer without earnest money. But that can be risky unless the seller is highly motivated or the market is slow.

Most agents recommend putting down at least a small amount to show you’re serious.

🧠 Frequently Asked Questions

Q: Is earnest money refundable in Ohio?
A: Yes—if your contract includes contingencies (inspection, financing, etc.) and one isn’t met, you’ll likely get your money back.

Q: Who holds the earnest money?
A: It’s typically held in escrow by the listing agent’s brokerage, a title company, or an attorney.

Q: What happens if I back out for no reason?
A: You may forfeit the deposit to the seller, depending on the contract terms.

Q: Does it count toward my down payment?
A: Yes—earnest money is applied to your down payment or closing costs at settlement.

🗝️ Ready to Make Your Move?

Whether you're just getting started or have specific questions about buying a home in Ohio, let's talk!
We’ll guide you through the process step-by-step—no pressure, just value.