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Does an Old Oil Tank Have to Be Removed?

Short answer: Not under Pennsylvania's tank program. Heating oil burned on the premises is excluded1,2, and DEP says home heating oil tanks are not regulated3. The reasons people remove one are practical: a sale, a lender condition, an insurer, or leak risk4,5.

When removal usually makes sense

  • Disclosure: PA sellers must disclose known material defects on the property disclosure statement6.
  • Lenders: under Fannie Mae's guide, when an appraiser knows of a hazardous condition, the appraisal must note it and be made "subject to" inspection by a qualified professional4. Lenders may ask for testing, soil sampling, or removal/closure documentation5.
  • Insurers: standard homeowners policies may exclude gradual leakage and pollution cleanup5,7.
  • Title insurance covers title defects, not contamination in the soil7.
  • Environmental risk: a leaking tank turns a routine job into a cleanup project8.

Alternatives

  • Abandon in place (buried tanks): empty, clean and fill. Keep the paperwork5. See abandonment.
  • Sweep first if you aren't sure a tank exists7.
  • Leave it, disclosing known defects when you sell6.

What it costs

JobPublished figureSource
Above-ground / basement tank removal$500–$1,5009
Above-ground tank removalaverage $1,1008
Underground heating-oil tank removal$1,000–$3,000+9
Underground heating-oil tank removalaverage $1,9008
Soil sample lab analysisabout $220 each, typically 2–3 samples8
Tank sweep (magnetometry), residential lot$250–$500 (Philadelphia source)7

Leaks change the picture: cleanup is a separate, larger project8,9. Figures are published ranges, not quotes.

Related

Lehigh Valley towns with the most oil-heated homes

Municipalities we cover where at least 30% of occupied homes are heated mainly by fuel oil or kerosene, estimated by the Census10:

TownFuel-oil shareHomes (± margin of error)
Upper Mount Bethel Township55.9%1,475 ± 243
Lower Mount Bethel Township53.5%634 ± 117
Washington Township (Northampton)53.2%1,030 ± 207
Lehigh Township47.0%2,021 ± 304
Lower Milford Township42.4%616 ± 132
Plainfield Township41.6%1,045 ± 282
Coopersburg40.3%442 ± 96
Wind Gap39.9%603 ± 142
Bushkill Township39.5%1,255 ± 210
Pen Argyl39.2%545 ± 184
Washington Township (Lehigh)37.5%1,020 ± 207
North Whitehall Township33.6%2,017 ± 298
Lynn Township32.3%551 ± 135
Moore Township32.2%1,113 ± 208
Bangor31.7%630 ± 197
Williams Township31.2%818 ± 215
Nazareth30.3%908 ± 208

For comparison: Allentown 14.1%, Easton 8.6%10. These are 5-year survey estimates; small towns have wide margins of error.

FAQ

Does PA DEP require me to remove my home heating oil tank?

No. Tanks storing heating oil burned on the premises are excluded from the state program, and DEP says home heating oil tanks are not regulated1,3. Owners usually act because of a sale, a lender, an insurer, or leak risk.

How much does oil tank removal cost?

Published figures: above-ground $500–$1,5009 (average $1,1008); underground $1,000–$3,000+9 (average $1,9008). Leaks cost more.

Can I sell a house with a buried oil tank in PA?

State law doesn't prohibit it, but you must disclose known material defects6, and the buyer's lender may require inspection or documentation4,5.

Get a free quote

Tell us where the tank is (basement, side yard, buried, or unknown) and whether you're buying, selling, or refinancing. Allentown Tanks will connect you with a qualified local tank contractor. (215) 434-1322 · Request a quote

Sources

  1. Act 32 §103 (UST definition excludes heating oil for consumptive use)
  2. 25 Pa. Code §245.1 definitions
  3. PA DEP Storage Tank Data ("Home heating oil tanks are not regulated")
  4. Fannie Mae Selling Guide B4-1.4-08 Environmental Hazards Appraisal Requirements
  5. Kash Mortgage Group, PA buyer guide
  6. 68 Pa.C.S. §7303 seller disclosure
  7. Flagstone, Philadelphia oil tank guide
  8. Curren Environmental, PA oil tank removal cost
  9. Harned Durham Energy, heating oil tank removal cost
  10. Census ACS 2020–2024 5-year Table B25040 House Heating Fuel, county subdivision geography (table-based summary file)
  11. PA DEP Installer/Inspector Certification (certified company list)
  12. PA DEP Storage Tanks Financial Assistance (Underground Heating Oil Tank Cleanup Reimbursement Program)
  13. PA DEP, Apply for Oil Tank Cleanup Reimbursement
  14. USTIF Heating Oil Tank Program (voluntary, tanks of 3,000 gallons or more)

Sources accessed 2026-10-25 by TANKER Traffic.

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