What is the “Ohio Good Funds Law”?
The law requiring any funds for more than a $1,000. to be electronically wired to the closing agent prior to closing. No more certified and/or cashiers checks. Personal checks, certified checks or money orders are acceptable for expenses up to $1,000. which means buyers need to bring their checkbook (or other certified payments) to the closing to cover any last minute costs.
On April 6th all transactions closing on or after that effective date, title agents will be required to follow much stricter controls over the handling of closing funds.
Impact on Buyers:
Impact on Sellers:
Like any new rule or change we’re going to have a rough month or so until everybody figures out the best way to handle the new rules.
The biggest hurdle will probably be the occupancy issue- buyers want to move in immediately but most sellers need the money from sale to buy the next place and don’t want to be homeless for 2-3 days. And for buyers who think the loan process is obnoxious- get ready to deal with no texts or emails when it comes to wiring instructions.
Be patient the impact of the Ohio Goods Fund Law has on real estate closings will get easier within a few months.