Study: 3 Renovation Projects That Cut Energy Bills by 36%

Our recent study reveals that homeowners can significantly reduce their annual energy bills through three specific home renovation projects.

These improvements can lead to a 36% reduction in energy costs, translating to an average savings of $233.95 per year. Over 20 years, this could result in substantial savings of up to $4,679.

Key Findings

Space heating and air conditioning account for 52% of a household’s annual energy consumption.

Space heating alone is responsible for about 45% of energy bills in the average U.S. home.

Three specific renovation projects can lead to a 36% reduction in energy costs.

Study Background

Recognizing the need for cost-effective solutions tailored to different household sizes, we analyzed several renovation projects that homeowners can undertake during the summer to prepare for the varying demands of colder months ahead. Our goal was to identify the most effective ways to reduce energy consumption and costs.

Home type	Best project for your home size	Est. Cost to Install (National Average)	Total est. savings on energy bills (in %)	Est. Annual Savings	Est. savings over 20 years
Small Homes (800-1,500 sf)	Sealing windows & doors	$130-$433	15%	$96.57	$1,931.40
	Repairing sealing ducts	$200-$1,000	30%-50%	$300	$6,000.00
	Installing a smart programmable thermostat	$130-$300	10%-15%	$64.38	$1,287.65
	Furnace/Boiler tune ups or replacements (maintenance)	$70-$200	16%-20%	$103.00	$2,060.00
Medium size homes (1,200-2,500 sf)	Install smart thermostats.	$130-$300	10%-15%	$64.38	$1,287.65
	Furnace/boiler tune ups or replacements (maintenance)	$70-$200	15%-20%	$103.00	$2,060.00
	Replacing radiator systems with radiant wall panels	$100-$1,899 per panel	28%	$62.12	$1,242.00
Large Homes (1,900-3,000 sf)	Geothermal radiant heating	$25,000	44%	$283	$5,660.00
	Radiant wall panel installation	$100-$1,899 per panel	28%	$62	$1,242.00
	Heat pump installation	$6,500	45%	$291.85	$5,837.00
	Installing radiant heated flooring	$6,500	7%-15%	$96.57	$1,931.40

The Three Cost-Saving Home Renovation Projects

1. Smart Programmable Thermostat Installation

Reduces energy consumption by 10%
Saves $64.38 annually
Potential 20-year savings: $1,287.65

2. Air Leak Sealing and Home Insulation

Reduces heat loss
Saves $96.57 annually
Potential 20-year savings: $1,931.46

3. Furnace Tune-Up

Increases heating system efficiency
Reduces annual energy spend by up to 16% ($103 annually)
Potential 20-year savings: $2,060.00

High-End Heating Systems Analysis

Building on our initial analysis, we further explored various high-end heating systems, detailing their energy efficiency and operational costs. This additional research aims to better guide consumers in understanding the long-term financial implications of their heating choices.

	$ value	Absolute value
Price of Electricity for March 2024	$0.174	$0.174

Type	Wats per square foot (psf)	kwh usage (low)	kwh usage (high)	Cost psf low ($)	Cost psf high ($)	Cost for 100 sf (1 hour)	Cost for 100 sf (6 hour)	Cost to run daily for 30 days ($)
Hotwire Systems/Electric Resistance Heating	12-13	0.012	0.013	0.002088	0.002262	0.2262	1.3572	40.72
Geothermal Radiant Heating	3-4	0.003	0.004	0.000522	0.000696	0.0696	0.4176	12.53
Hydronic heating System	9-11	0.009	0.011	0.001566	0.001914	0.1914	1.1484	34.45
Step Radiant Heating	4.5-5	0.0045	0.005	0.000783	0.00087	0.087	1.522	15.66
Heat Pump System (electric)	3-4	0.003	0.004	0.000522	0.000696	0.0696	0.4176	12.53

Expert Insights

Skip Marou, our founder at Green Wave Distribution, commented on the study’s findings:

“If you’re looking for the most energy-efficient system, geothermal radiant heating and a heat pump system will be your best bet. However, if you’re looking for a superior heating system, STEP’s radiant heating solution provides the best heating and wellness benefits. To be frank, STEP is like the Ferrari of heating, but it does come with a high cost.”

Marou emphasized the importance of balancing cost with quality, advising consumers to consider initial and long-term maintenance expenses when selecting a heating system.

Conclusion

Our comprehensive study highlights the substantial savings that can be achieved through smart home renovations.

As energy costs continue to rise, investing in efficient home heating solutions has become increasingly crucial for homeowners. By implementing these three renovation projects, homeowners can potentially save up to $233.95 annually, resulting in significant long-term savings of $4,679 over 20 years.