Buried Oil Tank (Catskill: for sale, real estate, insurance)

[jego914]

Hi- just posted a similar question on real estate forum, but though it might be best to get some local feedback. Has anyone purchased a home with an underground oil tank? If sellers agree to remove, what is the process? Is just the soil tested or water as well? How long does this take? If soil comes back clean- is that it? Don't think I would proceed if soil came back contaminated and have to deal with EPA. Is the test guaranteed by company?

[dr.strangelove]

Originally Posted by jego914

Hi- just posted a similar question on real estate forum, but though it might be best to get some local feedback. Has anyone purchased a home with an underground oil tank? If sellers agree to remove, what is the process? Is just the soil tested or water as well? How long does this take? If soil comes back clean- is that it? Don't think I would proceed if soil came back contaminated and have to deal with EPA. Is the test guaranteed by company?

Has anyone purchased a home with an underground oil tank?
No, and I would not.

If sellers agree to remove, what is the process?
They used to just drain them, fill them with concrete and leave them there forever, but now they take them out. Its just what it sounds like. Excavate, visually inspect the area around the tank. Oil leakage is very easy to see. Test some soil to be safe, then put in clean fill and install an above ground tank.

Is just the soil tested or water as well?
Water and oil do not mix, but oil will do what it does in water, float on it. If there is ground water, and lets be clear EVERYWHERE in westchester has groundwater, it will ride it in the shape of the groundwater plume. The oil can go far. They should drill little bore holes and go down to the groundwater level, and go in the direction of the groundwater plume. Test at random areas and see what you get.

How long does this take?
A few weeks.

If soil comes back clean- is that it?
Sure, that should be it.

Don't think I would proceed if soil came back contaminated and have to deal with EPA.
I certainly would not.

Is the test guaranteed by company?
Never heard of a company that would offer any pollution promise. I sure wouldn't. If a drill bore shows nothing, but one ten feet away shows something, how could they know.

My thoughts, RUN AWAY. Find a home that already did all this. They has a nice above ground tank and never ever dig anywhere near it that might show something to a mandatory reporter like an oil company. Just find someplace else.

[jego914]

Thank you for your response. I appreciate it. A year ago, I ran from homes that had buried oil tanks- no way, not ever. Fast forward...at least 1/3 of the homes in my area (in my price range) seem to have the issue. This specific house has used gas for 10 years. Owners emptied tank (not sure how) and went on their merry way using gas. Hoping there is little chance for contamination if tank was pretty much empty. Not yet sure this is a dealmaker. Thx again!

[SulfurDog]

My sister tried to sell a house with a brand new oil tank that was never even filled, let alone used. (Husband died suddenly so she wanted to sell). Her first potential buyer balked.

How does one know if it's spillage from the process of removing the tank vs. actually having a leakage. Not to be super naive and cynical but couldn't this sort of thing be parlayed into a scam by certain unscrupulous folks?

[dr.strangelove]

Originally Posted by jego914

Thank you for your response. I appreciate it. A year ago, I ran from homes that had buried oil tanks- no way, not ever. Fast forward...at least 1/3 of the homes in my area (in my price range) seem to have the issue. This specific house has used gas for 10 years. Owners emptied tank (not sure how) and went on their merry way using gas. Hoping there is little chance for contamination if tank was pretty much empty. Not yet sure this is a dealmaker. Thx again!

You might want to just leave the tank where it is. Do some soil testing around it, get the results, but just leave it alone.

[jego914]

Most mortgage companies require tank to be removed, as well as many insurance companies. Abandonment is rarely done anymore and not recommended or so I was told.

[roskybosky]

About 2 years ago, I had the underground tank at a second home in the Catskills 'abandoned in place."
A company (Lueron) came and emptied the tank, filled it with a foam to keep it from collapsing, and gave me some papers to show I had done the project properly. I then bought a new tank for our basement.
Total cost was 2500.
I did not want to risk contamination of the surrounding earth, as the tank was 50 years old.

[roskybosky]

About 2 years ago, I had the underground tank at a second home in the Catskills 'abandoned in place."
A company (Lueron) came and emptied the tank, filled it with a foam to keep it from collapsing, and gave me some papers to show I had done the project properly. I then bought a new tank for our basement.
Total cost was 2500.
I did not want to risk contamination of the surrounding earth, as the tank was 50 years old.

[roskybosky]

Sorry about the double post.

It took 1 day to do the tank job. I did not get the impression that any contamination would be a major cleanup. I had the job done because the oil company, during a fill-up, thought they saw water in the tank, which could mean it was leaking. Or, it could have been condensation.

[allanny13]

Originally Posted by jego914

Hi- just posted a similar question on real estate forum, but though it might be best to get some local feedback. Has anyone purchased a home with an underground oil tank? If sellers agree to remove, what is the process? Is just the soil tested or water as well? How long does this take? If soil comes back clean- is that it? Don't think I would proceed if soil came back contaminated and have to deal with EPA. Is the test guaranteed by company?

Don't mean to scare you but most responsible sellers would have already taken care of this issue in advance of putting the house up for sale, in fact most realtors I know would require it upon taking a listing. So already it sounds like maybe they know something is wrong (maybe past leaks or something). Absolutely make sure sellers agree to remove at their cost (including any unexpected overages or additional clean-up), and don't go to contract until this is done and certified clean.