When you buy your new home, you don't just buy the building and property. You are also buying any hidden environmental hazards. That is why you must be careful if the house that you love contains an underground oil tank. Love is blind, but as a buyer you should not be.

Homeowners often rely on home inspection companies to make sure that everything is in working order. This is generally a very good idea because it is better to become aware of problems and potential problems before you purchase, rather than after you purchase. But, home inspectors are not equal in terms of talent and capability. If you are going to rely on an inspector, use the services of one that is highly recommended by a disinterested person. Hint-- the real estate sales person may not be truly disinterested.

One big concern during a due diligence investigation concerns the integrity of any underground storage tanks, including home heating tanks. Since underground storage tanks are buried, underground, and therefore not readily visible, experts are required to evaluate whether the tanks are leaking and otherwise meet current legal requirements.

Underground storage tanks have historically been the source of many environmental problems -- because leaks can affect ground water quality. And leaking tanks are what home homeowner nightmares can be made of. I am an environmental attorney and I have seen leaking homeowner tanks that have resulted in over $200 thousand in cleanup costs. While I suspect most leaky tanks result in under $20 thousand in environmental harm, the potential for a financial disaster is real.

Underground tanks fail for a variety of reasons. Rust inside a tank can result in pin holes that cause leaking. In addition, buried underground electric utility lines can cause an electrical condition underground that can result in tank holes. Special devices are now installed on many new tanks to guard against this kind of tank destruction.

If you are considering purchasing a house with an underground oil tank, do not take anything for granted. You want to do what you can to ensure the tank has not leaked and is structurally sound. Qualified inspectors have a variety of testing methods available to help determine whether a tank is safe.

Some purchasers do not want to take any chances with an underground fuel tank. For these people there may be two options. The first option is to require that an above ground tank be installed in the basement. The second option is to require a changeover to natural gas, if gas service is available. Under either option, the old underground tank must be properly closed.

Proper closure is viewed by many as soundest option. Closure eliminates the risk of future, potentially costly releases. Depending on tank size, closure often requires submission of a closure plan to the local regulatory agency and implementation of that plan following approval. Any contamination encountered during the tank removal must be addressed in a manner consistent with applicable law. State and county officials may also be involved in the tank closure process, depending on your applicable laws.

If leaks have occurred, a cleanup may be required. This might be limited to some minor soil removal. This is the least expensive kind of cleanup. Rather than removing soil, recently engineered bacteria can be applied which will actually consume oil contaminated soil. This is a form of natural remediation.

The most expensive cleanups result when groundwater has been contaminated. Groundwater cleanup is often accomplished by pumping the groundwater through a filtration system or an air stripper. Sometimes, air, and chemical agents can be pumped into the groundwater, utilizing another form of natural remediation. Scientists are constantly searching for new, cost effective methods of cleaning contaminated soils and groundwater.

A tank represents specific sales contract concerns. As a buyer, your lawyer may want to include special language, and warranties relating to the buried tank. As a seller, your lawyer will want to make sure that any representations that you make are indeed, 100% accurate.

Tank removal funding assistance may be available. Check your local or state government for more information. In New Jersey, a recent State law provided grants for certain underground storage tank removals. Other jurisdictions have enacted similar laws. In addition, very often homeowner insurance policies will cover many costs associated with the cleanup.

The information provided in this column is written by Stuart Lieberman,a practicing environmental attorney, and is for general information purposes only. It is not legal advice and should not be used in place of legal advice.

Stuart Lieberman, Esq., and IRED.Com, Inc., will not accept any responsibilty for any reliance on the information in this column or any damages whatsoever resulting from reading this column.