Is Septic Field testing required for Sale in order for financing?

Question

My father is preparing to sell his home. The house is on its own septic field. The septic field was originally installed in the '80s. My father bought the house in 2002. The septic field has never been tested; he did not have it tested before he bought the property.  When he goes to sell the house, what can he expect?  If there is a home inspection and the inspection recommends having the septic field tested, can he refuse and say "as is where is"?  Will an appraiser call out the septic field and require it be tested and not allow financing until after their is a test of the septic field?  Is my father legally required to have it tested to ensure that it is working properly? Anyone with any experience with this?  Thanks for the help.

Robert Leach · Answer

Septic tanks are usually tested before the sale of the house goes through in my experience. Also the water is tested for lead and other contaminates. In one house, the seller was forced to install a whole house reverse osmosis system due to lead.

Tom Sutherland · Answer

it Illinois if you are on well and septic an inspection is required for the sale of the property. It's a health department thing. I'm sure it's probably the same in many states. Honestly the septic guy just pumps out the tank and verifies a positive flow away from the tank towards the leach field.

Timothy Hillyer · Answer

Your definitely wrong on that. If the buyer wants the house he does not have to show the inspection to the bank. I've bought multiple homes and I have never shown the inspection to my lender. It can often open a "can of worms"  As for "dump" ing the property, it has nothing to do with that. The reasoning is, my father wants to sell the house as-is and is willing to reduce the price for the chance that the septic must be replaced. I'm looking for anyone with direct experience regarding this situation.

Todd Plambeck · Answer

The buyer wants the loan, he's going to give them the inspection report.  It sounds like there is something wrong with the septic and you are trying to "dump" it onto an unsuspecting buyer.  If you are that concerned about it have it test and fixed if it needs it.

Timothy Hillyer · Answer

So if the buyer gets a home inspection, the inspection report will likely suggest getting the septic tested, but in anyone's experience does the appraiser tell the bank that the home needs a septic inspection. The buyer doesn't have to give the inspection report to the bank.  How does the bank even know the home is on septic?  Also the septic may work fine as in the toilet flushes fine, but the septic field is tested with die to ensure that liquid doesn't seep through the drain field too quickly.

Brian Pulaski · Answer

I can't imagine anyone buying a home with septic (with conventional funding) would not have it tested. my first flop had one that I knew nothing about. 3-4 houses in my direct neighborhood had failed inspection. I got worried and had mine tested prior to the buyers inspection. I got lucky and mine was in good order, however issues can be costly and since then I have tried to avoid septic systems.

Ryan K. · Answer

In my personal experience if the buyer is financing the property then the bank will likely want the septic pumped and inspected and possibly the well water tested too. The seller (me) had to pay for these inspections and tests. If the septic field has been functioning fine then in most cases I would assume it will pass an inspection. Again this is my experience so in your state it might be different.