If there was an underground oil tank removed by a company that was certified to perform that work, there should have been a certificate issued by the NJDEP. That certificate is the only document you can really hang your hat on to prove that there never was, or there is not now, ground contamination from a leaking tank. If that document cannot be provided then most lenders will not provide financing for the property.

Hi,Have any of you known anyone who bought a place with an oil tank in the ground not yet remediated? How to handle?

Joseph DiRocco Basement and above ground tanks don't have the same issues as in ground tanks. Presumably, you'll notice if your basement tank starts leaking. In-ground tanks can leak for years and years and no one notices until lots of oil has permeated the soil. It's quite a mess to remediate. I personally think it's waay overhyped by the DEP and remediation companies, but nobody cares what I think. :)

Can I ask for clarification, the house I grew up in has an oil tank in the basement(Rhode Island). Many homes still use oil, am I reading that down the road if I sue or take the tank out of the basement I'm screwed?

@Claudia Fernandez I am not sure what the state of NJ is like, but in PA things are crazy when it comes to removal of oil tanks. There are many tests that need to be conducted to ensure the land is not contaminated (the tanks always leak). They have to be properly exposed with proper documentation and even after all of that you still could be liable. My advice, do not buy! For my day job, I work for a bank handling real estates in trusts and estates. Our policy is refusal of an property that shows signs of underground tanks. We will accept the property only if the trust is has some deep pockets. We don't like the liability. So if a fortune 500 company wouldn't accept that property, I sure as heck would not.Also, I could be wrong but I believe one way these companies stop the contamination is to burn the dirt. I imagine that extremely difficult lol. Good luck if you decide to continue! I'm sure you will need it.CB

@Claudia Fernandez I would get copies of the documents, but in my mind, that should cover you. Make doubly sure that the address is correct and such, but I think that proves your lot is 'clean'. From what I know about tank sweeps, they are pretty unreliable. I think the town's documentation trumps a sweep.(I'm not a lawyer, and I would confirm with yours regardless)

The town has the permit and the documents saying it was removed.

Get a certificate or letter or something confirming that the removal was completed on x date for this address, permits were gotten, inspections completed, and the whole process completed to DEP standards. When you sell, you'll have the certificate saying it's clear.

Company confirmed oil tank was removed. Any suggestions on what to do next??

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Updated almost 8 years ago, 03/26/2017

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Claudia FernandezPoster

Investor
Linden, NJ

Buying & Selling Real Estate

Oil Tank?

Claudia FernandezPoster

Investor
Linden, NJ

Posted August 31, 2016 07:19

We are in the process of buying an REO in NJ. Inspector said the front yard had signs of an oil tank, to get a sweep done. Called the town and the town said they have a permit for an oil tank removed. Did a sweep anyway to make sure and shows possible oil tank but it could be anything under there. Contacted NJdep and they have no record of anything on the property. Reached out to the property that did the removal but still waiting to hear back. Any suggestions on what to do next??

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