When installing a new heating system, whether due to a malfunction or as part of a new home construction, the costs can be quite daunting. The price for a new furnace can range from $2,000 to over $10,000, depending on the system type and home size. Additionally, there will be ongoing expenses associated with using the system.
If you’re considering ways to save on expenses, you might be inclined to choose between gas and electric heating. Generally, electric heating systems have lower installation costs compared to gas systems, although gas systems may offer better long-term savings.
Here are the key factors to think about when comparing gas and electric heating systems:
Installation Costs: Electric Has the Edge
Electric heating systems tend to be more affordable initially. Options such as heat pumps, baseboard heaters, or electric furnaces usually amount to an installation total ranging from $2,000 to $8,000. Additional costs for permits and inspections can add another $200 to $500.
Gas heating systems, utilizing natural gas or propane, require a higher investment upfront. The installation costs typically range from $3,800 to $10,000, not including additional permits and inspections that can run between $250 and $1,500.
The final expenses will be influenced by your home’s unique structure. Factors like the need for new gas lines versus electric wiring can significantly affect costs.
Operating Costs: Gas is Typically Cheaper
Once your system is in place, the cost of operation becomes crucial. Generally, gas heating systems are less expensive to run, with annual costs typically between $400 and $700. Electric systems, conversely, usually have annual operating costs ranging from $1,900 to $3,800.
Repair Costs: Similar for Both
Repair expenses for both heating types are generally comparable, falling between $130 and $500 per repair visit.
Other Considerations
When evaluating your heating options, consider factors beyond cost.
Environmental Impact
With rising awareness about the environmental impact of fuel consumption, many homeowners seek more sustainable heating options. While natural gas burns cleaner than some other fuels, it still emits greenhouse gases. The environmental impact of electricity fluctuates by region, but transitioning from gas to electric systems can significantly reduce related emissions.
Safety
Electric heating systems are often regarded as safer since they do not present risks associated with gas leaks or carbon monoxide poisoning, although they can still lead to fires.
Maintenance
Gas heating systems tend to need more frequent maintenance due to their complex parts, while electric systems tend to have fewer components and lower upkeep requirements.
Efficiency
Gas systems are generally more efficient than electric ones, providing quicker and higher heating capabilities.
Choosing Between Gas and Electric
The decision between gas and electric heating systems depends on your budget for initial installation and how long you plan to live in your current home. For short-term living situations, electric systems offer a lower initial cost. However, if you plan to remain in the same property for several years, the lower operating costs of gas systems generally make them a more economical choice over time.
Whichever option you decide on, consider additional technologies such as Energy Star-certified smart thermostats to further optimize your heating expenses.
photo credit: money.com
