When you purchased your home, perhaps you had never lived in an oil-heated home. Therefore, it wasn’t something you put a lot of thought into when it came to researching the various aspects of your new home. Or, perhaps everything else about the house was so perfect that you decided to live with the oil-heating. Whatever the initial reason behind your oil-heating home, you’ve since learned that gas heating is significantly cheaper than oil-heating, and you’re trying to decide if the cost of converting is worth it.
What does it cost to convert from oil to gas?
The cost can vary a lot depending on a wide range of factors. Some estimates are as low as $3,500, and others can be as high as $10,000. Some of the factors that will impact the cost of switching include:
- Whether a gas line exists from the mainline to your home.
- How old your current heating system is.
- If you need a chimney liner.
- If there are any rebates or credits to utilize.
If you need a new gas line, it costs about $1,000. However, some utility companies are willing to do this installation for free. Contact your local utility company to find out what they would charge.
If your current system is older than 10 years, you will need a whole new system. If you do need an entirely new system, that will be more expensive than just replacing the heating elements.
A chimney liner may or may not be required. Unlike with oil-heating, with gas heating, the exhaust can harm the lining of your chimney’s masonry. Therefore, you may need to invest in a chimney liner in order to protect the masonry. You should compare the cost of the chimney liner to the cost of getting a high-efficiency furnace. A high-efficiency furnace won’t require you to install a chimney liner.
Many areas are encouraging homeowners to switch from oil to gas, and therefore offer many rebates and credits. These can cut hundreds of dollars off your initial investment, so it is definitely worth the time to research what might be available in your area.
How much will I save from switching from oil to gas?
The average household saves about $1,000 per year after switching from oil to gas. Therefore, if your new system will only cost $3,500 – you would begin to see a positive return as early as the fourth year after installation.
While that may not seem like a lot, it can definitely free up money in your budget every month since your bill will be significantly less.
There are also other financial factors to consider as well. With an oil-heating system, you have more maintenance costs than you would with gas. You don’t need to change oil filters and nozzles regularly or get an annual chimney cleaning, with a gas system.
Is gas more reliable than oil?
As you’re aware, oil needs to be delivered to your home by a truck and then your tank must be filled. Those truck deliveries can easily be delayed by severe weather conditions, individual company factors, or an influx of other deliveries. This means you could regularly have to go without oil.
On the other hand, gas is piped directly into your house. You don’t have to depend on ordering or a delivery system to keep your home heated.
If you think that switching to gas from oil might be the right move for you, the next step is to figure out how much it would cost you to switch. Next, you’ll want to find out if there are any incentives you can use to lower the cost of switching. Last, you’ll determine how long it would take to recoup your costs. If it is longer than you plan to be in your current home, then it might not be worth switching. However, if you don’t plan to move in the foreseeable future, it is certainly worth considering.