Residential Property Disclosure Law in Ohio

When listing your home for sale or rent, you and your real estate agent are required to disclose all facts materially affecting the value, safety and condition of the property which are known only by you.  This is done by completing a four page Residential Property Disclosure Form.

The Residential Disclosure Law in Ohio requires the seller of a home to disclose to possible buyers information pertaining to the visible (patent) and non-visible (latent) condition and defects of the home.  The seller must complete the form to the best of his/her knowledge and the buyer acknowledges they have received and reviewed the form by signing and dating it, as well.

Disclosures should be provided to the buyer before executing an agreement to purchase. There is no penalty to the seller if the disclosures are given after the entering into a contract, but the buyer may have the right to rescind the contract even after entering into a contractual agreement with the seller.

The Buyer would have 3 days to rescind the contract without penalty, once the disclosures are delivered, if done so after an agreement is formed. Should the Seller simply not provide a Disclosure, the Buyer has 30 days from the execution date of the contract, or until escrow closes, whichever comes first, to rescind the contract without penalty. 

For additional information about Ohio residential property disclosure law, you should consult with an attorney.

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Here are some notes and advice relating to disclosures and home condition:

1. If you want to get top dollar for your property, you probably need to make all minor repairs and selected major repairs before going on the market.  Just don't overdo it on repair costs and price yourself out of the market.

2. During a buyer's inspection, environmental hazards may be uncovered, such as radon gas coming from the basement, asbestos, peeling lead based paint, leaking in-ground oil tanks, mold, etc. These are issues that the buyer or mortgage lender will probably want repaired before allowing the purchase to close.

3. In Ohio, you need to disclose that a previous inspection revealed a defect. Inspection reports are material facts and must be disclosed, even if you obtain other reports to contradict those findings or you question their accuracy. In addition, if your agent has knowledge of the negative report, he or she must disclose that fact to subsequent buyers even if you decide not to amend your form.

4. If the property condition changes after you have given the Disclosure Form to a buyer, the Disclosure Law in Ohio says the seller "may" amend the disclosure form in this situation, but does not require you to do so. If you do provide a buyer with an amended form after you enter into a purchase contract, the buyer then has three (3) business days from the date he received your amended form to rescind the contract.

5. Anyone selling or leasing residential real property must provide the form whether they are being represented by a REALTOR or selling the home on their own. For the purposes of the law, residential real property is defined as "real property that is improved by a building or other structure with one to four dwelling units."  This is also the case with a Lead Paint Disclosure Form.