Who owns the propane tank? Does the tank convey with the property?
The state of CT Department Protection passed the Uniform Property Disclosure Act, requiring that a seller complete a Disclosure Statement when listing a property for sale. This was introduced to help protect buyers from unknowingly purchasing a property that is known to have certain problems, either presently or in the past, without having the opportunity to weigh the risk of purchasing the property.
If the home your are considering purchase of has a propane tank, be sure to take note of disclosure item #35: Does the property include any leased items? If yes, explain. (Items to be listed include, but are not limited to: propane fuel tanks, water heater, major appliances, alarm systems and solar devices.)
This is a fact that could be lost in the shuffle of the sale if you do not have a realtor or attorney that is aware of the prominence of leased propane tanks. It seems to be that there are far more LEASED tanks than there are OWNED tanks out there. So here’s what happens: At the closing, you pay for the propane that is in the tank (common procedure). BUT what you don’t realize is that unless you submit paperwork committing to lease the tank, you may never have the opportunity to use the propane you have agreed to pay for or you will need to continue with that company without an opportunity to make your own choice.
If there is a propane tank on the property:
- Find out if the tank conveys with the property or if it is owned by a propane company (company owned). If it is owned by the propane company, that company is the ONLY COMPANY that may deliver to that tank.
- If the propane tank is company owned, do some research. Call the company in advance of the closing and ask questions.
- Consider your options, and make your choice.
Wilcox Energy is your local provider of propane throughout the shoreline and along the lower CT River Valley. From Guilford to the Lymes, we are on call and ready to answer you questions and provide your propane and oil. The choice really is yours. Learn more about Wilcox Energy’s propane services, and call us today.