Ohio has changed their rules for wholesaling. On March 2, 2026, a new law took effect that requires wholesalers to hand sellers a written disclosure before they sign a contract. Skip it, and the seller can cancel the deal at any point before closing and get their earnest money back.
This is the first Ohio law written specifically to regulate wholesaling. It does not ban the strategy and does not require a license. It requires transparency. Here is what the law says and what you need to do to stay compliant.
What the Law Is
The law is Senate Bill 155, now Section 5301.95 of the Ohio Revised Code. Governor Mike DeWine signed it on December 1, 2025, and it became effective on March 2, 2026.
The idea is simple. When a wholesaler puts a home under contract planning to assign that contract for a profit, the seller has a right to know. The law forces that into writing. If you are new to the strategy, our guide to wholesaling real estate in Ohio covers the basics. This post focuses on the disclosure rule.
Who It Applies To
The law applies to residential real property with one to four dwelling units: single-family homes, duplexes, triplexes, and fourplexes. Commercial and larger multifamily deals are not covered.
It applies to a wholesaler, defined as a person or entity that, for a fee, enters a purchase contract for residential property and then assigns or novates that contract, either as the buyer (grantee) or as a grantor who does not hold legal title. Two exemptions: assigning to a blood relative, or to a parent company, affiliate, or subsidiary under common control. Outside of those, wholesaling is still legal in Ohio, but the disclosure now applies to you. For the bigger picture, see our breakdown of whether wholesaling is legal.
What the Disclosure Must Include
The disclosure cannot be buried in your contract. It must be separate from the purchase agreement, printed in boldface type, in a font of at least 12 points, and in substantially the form the statute lays out. Here is what it has to tell the seller.
| What the disclosure must say |
Why it is in the law |
| The person is a wholesaler under ORC 5301.95 |
So the seller knows who they are dealing with |
| The seller may seek legal or professional advice first |
To protect sellers who may not understand the deal |
| The wholesaler does not represent the seller |
A wholesaler acts on their own behalf |
| The contract may be assigned without the seller's consent, for a fee |
So the assignment and profit are never a surprise |
| The price may be below market value and is conveyed voluntarily |
The seller agrees with full information |
You can read the exact language on the state's site at Ohio Revised Code Section 5301.95. Match it closely.
Signing and the Penalty for Skipping It
A disclosure nobody signs does not count. Both you and the record owner must sign and date it before you enter a binding contract. The order matters: present the disclosure, both parties sign, then sign the purchase contract.
Skip the disclosure, and the law gives the seller real power:
- The seller can cancel the contract any time before closing, without penalty.
- The closing agent must return your earnest money within 30 days.
- You cannot contract around it. Any waiver of this duty is void from the start.
It also counts as an unfair or deceptive act under Ohio's Consumer Sales Practices Act, which the seller and the Ohio Attorney General can enforce. The math is clear: the disclosure costs a few minutes and one signature, and skipping it can cost you the whole deal.
What to Do Before Your Next Ohio Deal
- Build a standalone disclosure form that matches the statute, in bold, 12-point or larger, separate from your contract.
- Sign it first. Present and sign the disclosure before the purchase agreement.
- Keep the signed, dated form in every deal file as your proof.
- Have an attorney review it once. A one-time cost that protects every future deal.
This becomes routine fast. Laws like this are also a sign of where the industry is heading, which we cover in our guide on adapting to changing wholesaling laws. For clean paperwork around your deals, see our guide to wholesaling contracts.
Frequently Asked Questions
The Bottom Line
The Ohio wholesaler disclosure law does not end wholesaling. It standardizes one step: telling the seller the truth about the deal, in writing, before they sign. Build the form, sign it first, and keep it on file. That is the whole task.
The investors who win in markets like this run a clean, repeatable process. DealMachine helps you find off-market sellers, skip trace owners, and manage your pipeline so you can close deals the right way. Start your free trial and put a compliant system to work on your next Ohio deal.
This post is for general information and is not legal advice. Talk to a qualified Ohio attorney about your specific situation.
