Bank Owned Property With A Buried Oil Tank

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I am getting ready to submit an offer on a property that they own due to foreclosure.



The property has a buried oil tank in the bank yard. Has anyone had any luck either getting significant money off the price to assume the liability or on the other hand gotten the bank to remove the tank at their costs??



Which is the best approach to get the property? I am hoping the bank would take $50k off the price and I would assume the liability and gamble. An expert has told me that it could easily reach $50k in a bad situation, but that the average is $15-20.



Any ideas?



Bobe73

Comments(8)

  • ericamtrustfunding20th April, 2007

    My suggestion is make a very bad case to the bank. Have 2-3 experts write up terrible reports of the detriment to the land and property with figuresd reflecting this situation. Then send you offer and supporting package to the asset mgr of the lender.

    just make sure you actually can profit off the deal and dont run into a major environmental issue with DERM when having to resell since you will have to disclose that that fact to furute buyers I assume

  • housebuyer61925th April, 2007

    Having dealt with a few oil tank in ground deals it can be as littel as 2k or as much as 50k like u said...but that takes quite a large spill to get to that kinda money..I had 3 triaxles of contaminated dirt and 2 tanks pulled from one prop (in CT) and that only ran me 13k or so....I have always used a company that does this area so I can certainly pass the name on to you.

    They crew is great and when having them tell me bout the 50k jobs they are not usually residential cleanups and very very large. So the 15-20 sounds bout right for the top end of a residential cleanup.

    This property wouldnt be in Bridgeport by any chance?

  • cjmazur25th April, 2007

    The person that posted about a benzene spill on the property next door should read this post and to help understand why cercla, hazmat, remediation, etc. are dirty words.

  • Bobe7326th April, 2007

    Thanks for the feed back and ideas.

    The property is not in Bridgeport. I would be interested in talking to you about projects and possible partner up since you are in CT. Let me know.

    We are still negotiating with the bank, however since this is a foreclosure the bank is into it for too much.

  • finniganps29th October, 2006

    I would report this to the authorities.

  • bargain7629th October, 2006

    Absolutely. A sting is going to take place.
    [addsig]

  • eastonmd3rd April, 2007

    Maybe not so bad...

    How did you find the sale history? Is it possible thatthe property you are looking at is part of a package or lot of properties and the inflated price is actually the price paid for the group?

    I looked at a property locally in the tax records and it showed an unrealistically high purchase price. After digging around I found that it was purcased along with the neighboring house which also had the same purchase price.

    Just a thought.

  • linlin24th April, 2007

    No, not a package. The properties were bought at different times from different sellers, They were then sold inflated and resold for a minor markup on the original price.
    I reported it to the Attorney General and now I see that the new round of properties all their info is being sent to some "Special Examiner". There were also a lot of docs filed regarding mortgage fraud and inflated values.

    [ Edited by linlin on Date 04/24/2007 ]

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