Ohio Purchase Agreement

The contract that binds your real estate transaction, and what to know before you sign.

The Ohio Residential Purchase Agreement becomes legally binding once signed by both buyer and seller with all material terms agreed. Key elements include price, contingencies (inspection, financing, appraisal), earnest money, and closing timeline. Last reviewed April 2026.

What Is the Purchase Agreement?

The Ohio Residential Purchase Agreement is the contract that governs the purchase and sale of a home. Once both parties sign, with all material terms agreed, the agreement becomes legally binding. In Ohio, the standard form used by most REALTORS® is the Columbus REALTORS® or Ohio REALTORS® purchase agreement.

Key Elements of the Contract

Purchase Price: The agreed-upon price for the property.

Earnest Money: A good-faith deposit held in escrow, credited toward the purchase at closing.

Closing Date: The date by which the transaction must be completed.

Contingencies: Conditions that must be met for the contract to proceed (inspection, financing, appraisal, sale of buyer's current home).

Inclusions/Exclusions: Fixtures, appliances, or personal property included or excluded from the sale.

Possession Date: When the buyer takes physical possession, which may differ from closing.

Common Contingencies

Inspection Contingency: Allows the buyer to hire a home inspector and negotiate repairs or withdraw if significant defects are found.
Financing Contingency: Protects the buyer if they cannot secure mortgage approval.
Appraisal Contingency: Allows renegotiation or withdrawal if the home appraises below the contract price.
Sale of Current Home: Contingent on the buyer successfully selling their existing property.

Tips for Buyers and Sellers

Read every section of the contract carefully before signing
Ask your agent to explain any terms you don't understand
Ensure all verbal agreements are written into the contract
Know your contingency deadlines. Missing them can forfeit your protections
Consider having a real estate attorney review the contract

Frequently Asked Questions

Is the Ohio purchase agreement legally binding?

Yes. Once both buyer and seller have signed the agreement with all material terms agreed upon, it becomes a legally binding contract under Ohio law.

Can a buyer back out after signing?

A buyer may be able to withdraw if a contractual contingency (inspection, financing, appraisal) is not satisfied. Outside of contingencies, withdrawing may result in forfeiture of earnest money or other legal consequences.

What is earnest money in Ohio?

Earnest money is a good-faith deposit submitted by the buyer to demonstrate seriousness. It is held in escrow and credited toward the purchase price at closing. The amount is negotiable.