Well guys, thanks for your input and suggestions!! I felt like I
owed it to you to tell you how this story ended. We decided to make an
offer on the house, contingent on the fact that it passed thorough
septic inspection or we could walk. Well, last week when the septic
guy came out he found that the whole west end of the house (all but one
bathroom) had a major problem. There is a creek that is about 300 feet
away from the back of the house, and behind a tree about 200 feet from
the house lay some 3" rubber tubing that came from underground. Sure
enough, when we flushed toilet paper down the toilet it came out onto
the ground, and the tubing was layed across the neighbors property at
that!! Well, obviously it didn't pass inspection as our septic guy
gave the seller an estimate of 20k to put a mound system in(the only
way it could feasibly be done) and of course they declined, but they
wanted to have there own septic inspection, because they thought we had
"buyers remorse". So yesterday, my wife and I along with the realtor
went to take some more pictures, when we noticed that a trench had been
dug along the neighbors property line all the way to the creek, but the
raw sewage line was still left out. At this point it became clear to
us that the neighbor was the one that either disconnected it, or
something else. So this guy comes out and asks us if we have any
questions. He said that he was building a deck (which he is) and we he
"got to diggin" he run into the tank and decided that he had to
re-route "our contract houses" septic line. And then he went on to say
that him and his neighbors have been running the overflow into the
creek for years, and that the health department said it was ok, haha.
He said he could have put a septic system in, but it would cost too
much money so he just ran it out into the creek! Meanwhile, I had this
whole thing of him telling this on video tape, in case we need it, but
I should get my earnest money back by friday, but of course I am out my
inspection money. The seller is a young girl that was relocated by GE
to Michigan and she is flying back today to find out "what the hel*" is
going on, I think the neighbor duped her along time ago with this
septic easement crap that really is just undergound tubing that runs
the crap into a creek...but NOT my problem, thank God for me that this
guy decided to remodel his house and dug up the line to have it out for
all to see, or we probably would have not noticed it going to the
creek. A BIG LEARNING LESSON FOR US, never assume that a septic system
is even in place, and I think I am going to try to stay away from
septic in Evansville Indiana, at least within the city limits...

PS I did what some of you suggested, got free legal advice from a real
estate attorney about how to word the sales contract, and that is what
is getting me out of this...we are not gunshy about buying our first
house, but we are definately more aware of things now, thanks to all!

Andy Stocker