The actress was known for her work in Hollywood movies and in Broadway shows, but she will be best remembered for her Oscar-winning turn in Gentleman's Agreement.
Holm was hospitalized two weeks ago for dehydration and returned home on Friday. She reportedly died peacefully, surrounded by her family, according to her great-niece Amy Phillips.
The actress first gained notoriety for her role as Ado Annie Carnes in the original staging of Oklahoma! Holm famously nearly missed out on the role until she did a hog call.
Her move to Hollywood saw her taking on relatively unfulfilling roles in musical comedies. It took a bit of cajoling for Darryl F. Zanuck, head of 20th Century-Fox studios, to give her the role of Anne Dettrey in Gentleman's Agreement. It was not until screenwriter Moss Hart vouched for the actress that she got the part in the film.
The film featured Holm as a fashion editor with a soft spot in her heart for investigative reporter Gregory Peck. It notably exposed the taboo of banal, everyday anti-Semitism in daily life, and earned best-director and best-picture Oscars.
Holm then went on to star in All About Eve, a drama that saw her act alongside Bette Davis. It also won best-picture and best-director Oscars. The two actresses shared more than screen time.
Holm developed a reputation within Hollywood circles for tempestuousness and being a profound pain in the neck. Her run-ins with Zanuck continued, and eventually some compared her to Davis, according to the Washington Post.
Still, she was a critics' darling. Holm escaped Hollywood to return to the stage in 1950, taking on roles in The King and I and Anna Christie.
Holm was born in New York on April 29, 1917. Her parents were an insurance executive and portrait painter. She is survived by her fifth husband, Frank Basile, as well as one son from her first marriage and another son from her third marriage.