Selling a home with a propane tank requires careful attention to detail to ensure a smooth transaction and avoid potential disputes. The key issues revolve around tank ownership, the remaining fuel, and proper disclosure.

1. Determine Tank Ownership

This is the most critical first step. There are two main possibilities:

• You own the tank: If you purchased the tank yourself, it is considered a part of the property and will transfer to the new owner in the sale. You should have documentation (like a purchase invoice) to prove this.
• The tank is leased: This is a very common scenario. A propane company owns the tank, and you have a lease agreement with them. The tank is not your property and cannot be sold. It's essential to disclose this to potential buyers.

How to find out who owns the tank:

• Check your propane bills and contracts.
• Look for a company name, logo, or phone number on the tank itself, often on the tank's lid or data plate.
• Contact your propane supplier and ask for clarification.

2. Disclose Everything to the Buyer

Transparency is key to a successful sale. Propane tank ownership, maintenance, and usage should be clearly outlined in your seller's disclosure statement and sales contract.

• Disclose tank ownership: Explicitly state whether the tank is owned by you or leased from a supplier.
• Provide maintenance records: Gather any documentation you have on tank maintenance, safety inspections, and past fuel deliveries. This gives the buyer confidence in the system's condition.
• Be honest about appliances: List all appliances in the home that use propane, such as furnaces, water heaters, stoves, or dryers.

3. Handle the Remaining Propane

Propane left in the tank at the time of closing is a point of negotiation. There are typically two options:

• Prorate the cost: This is a common practice. You would get a written statement from your propane supplier with the current market price and the exact amount of fuel left in the tank on the day of closing. This value is then added to the sale price of the home, and the buyer reimburses you for the fuel.
• Leave it as a goodwill gesture: Some sellers choose to simply leave the remaining propane as a bonus for the new owner. While you won't be reimbursed for the cost, it can be a nice gesture that simplifies the closing process.

Important Note: If you are leasing the tank, you may not be able to sell the propane to the new owner directly. The new owner will need to open an account with the propane supplier and either take over the lease or negotiate a new one. The supplier may offer a refund to you for the remaining propane in the tank, but this can sometimes be offset by a tank removal or service termination fee. It is best to clarify this with your supplier well in advance of closing.

4. Before Closing

Before the sale is finalized, you should take the following steps:

• Contact your propane supplier: Inform them of your move-out date and the closing date for the sale. This ensures your account is properly closed.
• Do not let the tank run dry: A low or empty tank can trigger a mandatory safety inspection, which could delay the sale and incur an unexpected cost.
• Leave key information for the new owner: Leave a clear note with the propane supplier's contact information, tank ownership details, and your account number (if applicable) to make the transition as smooth as possible for the buyer.

Clear Communication = A Cleaner Closing

Selling a home with a propane tank doesn’t have to be complicated—as long as you’re clear on ownership, honest in your disclosures, and proactive with your propane provider. Taking the time to organize records, handle remaining fuel properly, and leave the right information for the buyer makes for a smoother transition and fewer surprises at the closing table. And if you're leaving the tank behind, consider installing a ProDomeSeal to protect the dome and make a good impression—it's a small upgrade that adds value and peace of mind for the next homeowner.