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Junior Member
:confused: What is the name of your state? NJ

Please Help! After signing a contract to purchase a home in NJ, we found out that there was soil contamination on the property due to an active oil tank. Though the contamination levels did not meet the city requirements for remediation, I knew that this was a Major problem and did not want to risk on closing title until this matter was addressed. We then asked the sellers to take care of the site cleanup cost's etc. and they refused. Finally they came with an agreement to put some money into an escrow, to take care of the cleaning, but wanted to close title ASAP. They offered us $7000 in escrow, but from me doing alot of research on soil contamination, I knew that the money they offered was insufficient. Soil contamination could go from even 20's, 50's, 100 thousand's depending how bad the problem is. I then asked my attny. what were my consequences if I backed out of the deal, and he said that I had a legitimate reason and would only loose out of pocket fees. So I decided to back out of the deal. Is my attny. right? Did I make the right move? Will I loose my $10,000 Earnest $ deposit? And can the sellers try and sue me? Please help! I'm a first time home buyer and feel like they got what they wanted.. a young naive 1st time home buyer whom they can take advantage of there is so much more to this, but my concern is what options/ rights do I have?


Your attorney has reviewed your contract and we have not. Assuming there is an inspection contingency, then you have every right to back out, without losing the deposit. I think you were smart in not accepting a $7,000 escrow, as it will most likely be insufficient. Let the seller do the clean up and get a clean inspection from the proper authorities. Now that it is a known problem, it will have to be disclosed to any buyer.

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