Propane Solved!

The propane saga has come to a happy ending. As you all know from the last post Propane Rehab – or why not to rent your tank, I bought a foreclosed house with a propane tank buried in the yard. The company that owned the tank said I had to rent it from them and buy my propane at whatever price they felt like selling it to me. They couldn’t quite understand me when I told them no.

What I did was ask to speak to the manager. I gave him a choice. Either sell it to me at a reasonable price, or come dig it out of my yard.  After some hemming and hawing, he agreed to sell it to me for $750.  It would have cost me three times that to get a new one, so although I think I could have done a little better – I took the deal.

Now I needed propane.  The company had tried to sock it to me at $2.99/gal because I was renting their tank and had no other choice.  That left me feeling somewhat hostile to them because it was about $.75/gal more than another company had offered.  However, when he offered to fill my tank at $2.09/gal I went for it.  Since I got 400 gallons, this cost difference FOR 1 TANK, was $360.    That tank should last me about two months at the rate we used the last tank.  I’m guessing 3 tanks per season, or an overcharge of ($360*3 +$250) $1330 per year I just saved.  I can do a lot of boat rehab for $1330!

One more thing.  While calling around I found a company that offered to charge me $2.25/gal.   I thought that was good, but when I got the offer to fill at $2.09/gal  I talked to the $2.25 guy again and asked if he could do better. He called back later and said he could match the $2.09 price, but I had already gone ahead with the purchase.

Moral of the story – never rent your propane tank

Other moral of the story – Always ask if they can cut you a better deal.

Sorry, no pictures for you this time.  We’ll get back to our regularly scheduled rehab next time.

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6 thoughts on “Propane Solved!

  1. Brad, we went through a similar situation when the company we originally got our tank from, also rented, when we bought our house was purchased by another company. They called to let me know I would have to pay them a higher rate and I told them they could come get it because we had only used it 2 or 3 times since living in the house – for 12 years! It is only for out gas log fireplace that doesn’t really heat anything except the wall it’s built into! 😦 They proceded to tell me how much it would cost for THEM to come GET THEIR OWN TANK and haul it off–some outrageous amount that I forget now! And the guy told me how expensive it would be if they ever had to re-install it later down the road!!! I discussed it with Tom and he felt we should just keep the tank and keep paying the rent on it in case we did ever need to use it! 😦 WE also have two propane tanks we swap out to use with our outdoor gas grill so we could still cook if we loose power and I thought we should have given it back and been done with that NEW COMPANY! I feel like they will raise rates again soon and then what???? 😦 They got ya no matter what sometimes!!! lol! Good luck with the rest of the rennovations! 🙂

    • They won’t have you if you tell them to come get their tank and stick it where the sun don’t shine! Thanks for the well wishes. You KNOW you guys have to stop by here on one of your trips up north!

  2. Now you have to check out the potential risk/reward of pre-buy… It is a program that Valley National Gas (now called something else I think) and some other companies have where at one point of the year they buy all of their propane for the year, and if you commit to buying XX gallons you can get it at a very low rate. The risk… what if the price falls below the pre-buy rate? The reward… what if the price goes up, or way up?

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