Advice needed! Next steps on house with possible buried oil tank? (Boston: houses, buyers)

[crittermicro]

We're looking to make an offer on a SFH in a Greater Boston suburb. Due to the market and low inventory we are planning to waive all contingencies (I know). We've already lost several bids in the past, all to "clean" offers. The caveat is that it's listed by our buyer's agent, so we're working with a (less experienced) colleague of hers for this property. Normally we would ask our usual agent for advice, but she is majorly downplaying this and I'm not sure who to lean on.

Today (Saturday) we did a pre-inspection so we can waive inspection contingency, and our inspector found an oil line that could lead to a buried oil tank (house doesn't use oil anymore). The issues with this are myriad, and our inspector suggested we call the local Fire Dept to check for records of an oil tank extraction. The house is built in mid-1950s, contemporary/mid-century, no basement. The sellers have been there since 2000, and say they don't know about any oil tank - the house has used gas since before they moved in.

The guy at the Fire Dept can't get back to us until Monday morning, but that is when offers are due. Obv if they find the record of an extraction, then great. Otherwise, we will have a slim window in which to make a decision on this. We're currently thinking to put in a single contingency that they figure out whether an oil tank exists, and if so, to remove it before close. I guess there could be an issue if they find leakage, etc - who is responsible for this? Any advice on how to structure an offer like this? Should we just steer clear and sit this one out? We're bummed and annoyed but this is the state of the market - no inventory, otherwise we would walk away. Thanks for any help!

[yesmaybe]

Def not a fan of oil, and if it's buried... that would be real bad news if it starts leaking. I would pass.

[newenglandgal123]

Just know that if and when you become owner of this property, an oil leak could have major financial implications and get the attention of environmental folks. Remediation can reach into the 6 figures. Some food for thought and here are some real life examples that happened to homeowners in this state.



https://www.newbedfordguide.com/mass...ies/2021/10/25
https://www.boston.com/news/local-ne...fter-oil-leak/

[OutdoorLover]

If the oil tank was leaking - and if it's an old steel tank there's a good chance it was, I think the soil needs to be cleaned up. I would be wary about this and although it sounds like you're getting weary in your home search, I wouldn't just buy the house without getting it assessed - cleanup costs can vary greatly, but they can be significant.

[in_newengland]

Cleanup from a leaky oil tank cost us our mother's inheritance. Incredibly expensive and they keep needing to dig deeper, do more tests. Unless you have better information, steer clear. It''s a nightmare.

[matrix5k]

Hard pass. There will always be another house.

[MikePRU]

Originally Posted by crittermicro

We're looking to make an offer on a SFH in a Greater Boston suburb. Due to the market and low inventory we are planning to waive all contingencies (I know). We've already lost several bids in the past, all to "clean" offers. The caveat is that it's listed by our buyer's agent, so we're working with a (less experienced) colleague of hers for this property. Normally we would ask our usual agent for advice, but she is majorly downplaying this and I'm not sure who to lean on.

Today (Saturday) we did a pre-inspection so we can waive inspection contingency, and our inspector found an oil line that could lead to a buried oil tank (house doesn't use oil anymore). The issues with this are myriad, and our inspector suggested we call the local Fire Dept to check for records of an oil tank extraction. The house is built in mid-1950s, contemporary/mid-century, no basement. The sellers have been there since 2000, and say they don't know about any oil tank - the house has used gas since before they moved in.

The guy at the Fire Dept can't get back to us until Monday morning, but that is when offers are due. Obv if they find the record of an extraction, then great. Otherwise, we will have a slim window in which to make a decision on this. We're currently thinking to put in a single contingency that they figure out whether an oil tank exists, and if so, to remove it before close. I guess there could be an issue if they find leakage, etc - who is responsible for this? Any advice on how to structure an offer like this? Should we just steer clear and sit this one out? We're bummed and annoyed but this is the state of the market - no inventory, otherwise we would walk away. Thanks for any help!

First, I want to say I have mixed feelings about what your agent did. I applaud them for referring you to another agent in their office instead of creating a dual agency situation. However, they should have tried to connect you with an agent who's as capable as they are rather than whoever was just hanging around by the water cooler.

Second, what was it about the oil line that made your inspector say that it could lead to a buried tank? I see decommissioned oil pipes in houses all the time and I've never had an inspector infer that they lead to a buried tank.

Third, I'd probably just run like heck from this house. Yes the market is exceedingly tough for buyers but as several people have already pointed out, if there is a buried tank on this property and it's leaking into the soil the cost of that clean up is MASSIVE and could put a major dent in your wallet or even worse financially ruin you if you don't have a good amount of savings in the bank.

What time are offers due on Monday? Perhaps you could reach the Fire Department before the submission deadline? If not, I wouldn't put in an offer personally.

[wp169]

The buried oil tank could have been decommissioned properly years ago, if it exists.

https://www.redfin.com/blog/buried-oil-tank/

[MikePRU]

Originally Posted by wp169

The buried oil tank could have been decommissioned properly years ago, if it exists.

https://www.redfin.com/blog/buried-oil-tank/

Certainly possible . . . given the cost of remediating an oil spill on your property which will likely run 10's of thousands . . . would YOU take that risk? We're not talking about skipping an inspection and gambling that the 10 year old roof isn't leaking.

[mikeugh]

Bail