Discovered an Underground Oil Tank During Home Inspection
For the rental property we had under contract, we opted to go ahead and hire our own home inspector despite the property seller making available a home inspection report written by their own home inspector.
It turns out it was a worthy investment as our home inspector pointed out a number of items not documented in the inspection including evidence of an underground oil tank. We quickly confirmed there was still an underground oil tank on the property that the seller was unaware of.
The seller agreed to address the issue by hiring an environmental cleanup company to remove the tank and re-mediate the ground. It turned out the oil tank had leaked so the company needed to perform a limited site assessment including drilling a well to take ground water samples.
|Oil tank removal/Initial Abatement||$10,108.21|
|Limited Site Assessment||$4,767.00|
The good news is the water/soil samples do not exceed state levels to add an addendum to the property deed. Since the seller quickly recognized they would need to address this anyway to sell the property, this issue didn't turn into a big hang up for the purchase. However I can see how oil tanks can be a major headache. In this case the seller was hit with an additional $15k in unexpected repairs to sell his property.
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