When does an Ohio home construction contract have to be in writing?

For a home construction service costing twenty-five thousand dollars or more, the supplier must enter into a written contract with the owner.

What if an Ohio contractor will not put the job in writing?

Failing to enter into a written contract that complies with the chapter before commencing work is prohibited conduct under the Home Construction Service Suppliers law.

How Much Deposit Can a Contractor Ask For in Ohio?

Ohio caps a home construction down payment at ten per cent of the contract price, and requires a written contract on jobs of twenty-five thousand dollars or more.

Ohio caps the deposit on a home construction job directly. A home construction service supplier may take as a down payment not more than ten per cent of the contract price before its work begins.¹ For larger jobs the law also requires a written contract,² and failing to put the agreement in writing before starting is prohibited conduct.³ This page explains the down-payment cap and the contract rules.

The ten per cent down-payment cap

Ohio's Home Construction Service Suppliers law limits the up-front money. A home construction service supplier may take as a down payment not more than ten per cent of the contract price before the supplier's performance begins.¹ A narrow exception lets a supplier collect the cost of special-order items on top of that, but the ten per cent figure is the rule for the ordinary deposit.

Because the cap is a share of the price, the written contract that sets the price matters. For a home construction service the cost of which equals or exceeds twenty-five thousand dollars, the supplier must enter into a written contract with the owner.²

Putting the contract in writing

The written-contract requirement has teeth. It is prohibited conduct for a home construction service supplier to fail to enter into a written contract that complies with the chapter before commencing the work.³ That is what makes the deposit cap enforceable: the contract fixes the price the ten per cent is measured against.

The practical takeaway in Ohio is to keep any down payment at or under ten per cent, get the job in writing before work starts, and treat a demand for more up front as outside what the statute allows.

Sources

In Ohio, a home construction service supplier may take as a down payment not more than ten per cent of the contract price before its performance begins.
Ohio Rev. Code § 4722.04Ohio Revised Code § 4722.04, Down paymentVerified August 3, 2026a b
In Ohio, a home construction service supplier may not perform a home construction service the cost of which equals or exceeds twenty-five thousand dollars unless it enters into a written home construction services contract with the owner.
Ohio Rev. Code § 4722.02Ohio Revised Code § 4722.02, Written contract requiredVerified August 3, 2026a b
In Ohio, it is prohibited conduct for a home construction service supplier to fail to enter into a written contract that complies with the chapter before commencing work.
Ohio Rev. Code § 4722.03Ohio Revised Code § 4722.03, Prohibited conductVerified August 3, 2026a b

Frequently asked questions

How much deposit can a contractor ask for in Ohio?: A home construction service supplier may take a down payment of no more than ten per cent of the contract price before work begins, with a narrow exception for special-order materials.
When does an Ohio home construction contract have to be in writing?: For a home construction service costing twenty-five thousand dollars or more, the supplier must enter into a written contract with the owner.
What if an Ohio contractor will not put the job in writing?: Failing to enter into a written contract that complies with the chapter before commencing work is prohibited conduct under the Home Construction Service Suppliers law.

This page is general information about state law, not legal advice. Laws change, and how they apply depends on the facts of your situation.