Replies

1. 
   rvillaume | Apr 22, 2004 07:22pm | #1

   "Other than this problem, the house is a great buy, well built, great neighborhood etc."

   This reminds me of the line "Other than that Mrs. Lincoln, how did you enjoy the play?"

   Personally, I would not take this kind of potential liability on myself.  Even if there is some kind of certificate from a regulatory body or one of their agents, there obviously remains some sort of problem.  10k in escrow might seem like a lot, but compare that to the cost of trying to find the problem and having to fix it from, say, inside the basement.  What would it cost just to have the concrete floor removed and replaced, let alone removing dirt from inside if in fact that turns out to be the problem?  And if that's not the problem, then what? 

   We bought a farmhouse that had an underground gas tank still in place when we looked at it.  It became THE sticking point in the negotiations, and we ended up doing all the homework for the sellers.  Luckily in our state, there was a fund set up to insure against egregious costs associated with the removal of old gas and oil tanks.  Once we directed the sellers to this program, and to a reputable licensed, bonded tank removal firm, and received a certificate from this state fund that the site was "clean" after the tank removal did we move forward.

   I'd stay away from it.

   Rick

2. 
   moltenmetal | Apr 22, 2004 07:40pm | #2

   Take into account that this advice is free and hence it's worth no more than what you've paid for it- but here goes.

   In a past life I was an environmental engineering consultant. A client of ours was an oil company which delivered a load of home heating oil to a tank that wasn't there.  The guy dumped at least 500 gallons of oil into the basement before he realized that there was no tank to fill up.  Before this, it was a million dollar home- afterward, the oil company had to buy them out.   After thorough interior tear-out to concrete, and cleaning, and exterior excavation of the backfill around the walls nearest the tank to the footings, back-fill with clean material and the installation of a soil vapour extraction blower, the smell remained for over a year.  We ended up excavating/underpinning the footings, tearing up the floor slab etc.- no pretty way of getting rid of that smell.  It's noticeable at very low concentrations and very persistent.

   In clay soils, off-site migration of the fuel oil may not be a big problem, but the chance is that the foundation wall and associated fill was more permeable than the native clay around it.  Chances are the oil is well soaked into the concrete, as well as any under-slab gravel etc.  Then again, if it's clay till or silty clay with sand or gravel lenses in it, and the water table is relatively high, you could be in even bigger trouble- the oil may have spread off-site, and now your problem isn't just with your house- it's with your neighbours too. 

   Don't trust an environmental consultant hired by the seller to tell you anything truthful about the property- they have no fiduciary duty toward you, only to their customer.  And don't trust that the remediation work was done competently.  Every excavation contractor and his brother got into the business of tank removals in the late '80s as a way to make an extra buck.  At least half of them have no clue what the heck they're doing, IMHO.

   If you're planning to sell this property ever, or you're bothered by the odour of fuel oil, the $10,000 they're offering probably won't even begin to cover this problem, then run away and take your money with you.  If fuel oil smell doesn't bother you and you're planning to live there forever, there's probably not much of a health risk and you might have yourself a deal.  Maybe all you'll need to do is install a good air-to-air heat exchanger and excellent ventilation system to control the odour- the $10,000 might cover the cost of that, if that's all you do.

   Good luck-