Ohio security deposit laws are detailed under Ohio Revised Code. These laws provide clear guidelines on how landlords must handle security deposits, ensuring both landlords and tenants are aware of their rights and responsibilities under Ohio law. Please note that rules and regulations may vary by municipality.
In Ohio, there is no statutory limit on the amount a landlord can require as a security deposit. However, it is common practice for landlords to request a deposit equal to one month's rent. The deposit amount should be reasonable and disclosed in the lease agreement.
Landlords in Ohio are not required by state law to place security deposits in a separate escrow account. They can hold the deposit in their own accounts, but they must account for it separately from other funds.
Landlords are not required to notify tenants when the security deposit is received or when it is placed in an escrow account (if they choose to do so).
However, landlords must include information about the deposit in the lease agreement.
Any security deposit in excess of fifty dollars or one month's periodic rent, whichever is greater, shall bear interest on the excess at the rate of five per cent per annum if the tenant remains in possession of the premises for six months or more, and shall be computed and paid annually by the landlord to the tenant.
For example…
Landlords must return the security deposit within 30 days after the termination of the lease.
If there are deductions from the deposit, the landlord must provide an itemized list of the damages and the amount deducted within 30 days after the termination of the lease.
If a tenant disputes the deductions or the return of their security deposit, they may file a claim in small claims court. Tenants can also seek damages if the landlord has wrongfully withheld the deposit or failed to provide an itemized list of deductions.
Landlords in Ohio can deduct from the security deposit for:
Claims Process Non-Compliance: If a landlord fails to return the security deposit or provide an itemized list of deductions within 30 days, they may be liable for the full amount of the deposit, plus potential additional damages. Courts may award damages up to twice the amount of the deposit, depending on the circumstances.
Military Service: If a tenant is called to active military duty, the Ohio Landlord-Tenant Act provides additional protections, including the return of the security deposit.
Foreclosure: In cases where the property is foreclosed on, the new owner may be responsible for returning the security deposit to the tenant.
Termination of Lease for Health and Safety Violations: If a tenant terminates the lease due to significant health or safety violations, they may be entitled to a full refund of their security deposit.
DISCLAIMER: Security deposit laws may vary by county or municipality. The information provided by Build Whale, Inc. is for general informational purposes only and should not be construed as legal advice. It is not a substitute for consultation with a qualified attorney. While we strive to provide accurate and up-to-date information, Build Whale, Inc. makes no guarantees or warranties regarding the accuracy, completeness, or reliability of the information presented.