It’s time to crunch the numbers. We’ve talked about what ductless heat pumps are, and how they can help filter allergens from your air and even heat your water or your floors, but today we’re going to take a look at real numbers to see how replacing an older fuel-oil furnace system with a ductless heat pump can start saving you money immediately.
According to a December 2012 study done of the relative costs of various space heating methods in Juneau, the annual cost of heating the average Juneau home with a standard fuel oil furnace comes to approximately $3,106. The annual cost of providing the same amount of BTUs (or British thermal units – a standard measurement of heat) with a air-source heat pump system is only $1,456.
That’s $140 more in your pocket every month
When we do the math, it comes to an average savings of $1,650 per year in homes using a ductless heat pump rather than a fuel oil furnace. That’s $140 more in your pocket every month. Even an Energy Star rated fuel oil furnaces had annual costs of $2,850 – nearly $1,400 more than a heat pump.
But what about installation costs? The average national cost to install a fuel oil furnace is $5,114, while our average costs to install a heat pump system are between $5,500 and $6,000. Even if you allow for the higher end of the spectrum, your savings will have paid for the difference in installation costs in only seven months. And even if you weren’t planning to install a new fuel oil furnace, you could pay for the installation of a heat pump system in only four years.
While the units do vary, the average life expectancy of a heat pump is approximately 15 years – which is roughly the same as a fuel oil furnace which has an average lifespan of 15-20 years. Over the course of that 15 years, assuming you save only the average amount, that is a savings of $24,750. That’s right. Almost twenty-five thousand dollars.
Over 15 years, that is a savings of $24,750.
And, because these units are better for sustainable energy in our future, there are numerous incentives and tax credits available when you switch. If you install this year, you could qualify for a $300 tax credit. So if your furnace is starting to show its age, now is the perfect time to switch to a ductless heat pump system.
These aren’t just theoretical numbers. We use these systems in our own homes. We’ve seen these numbers first hand. And we’d love to help you find the same savings.
Contact us for more information about how to get a ductless heat pump system into your home.