1 in 3 Underestimate Energy Upgrade Costs

Although energy efficiency upgrades are beneficial for many, 32% of U.S. homeowners underestimate their cost, according to a survey of over 1,000 homeowners conducted by Home Energy Club. 

Moreover, 1 in 5 homeowners faced unexpected upgrade expenses over $2,000, with nearly 10% paying more than $5,000. Also, 50% of respondents said they delayed or canceled energy efficiency upgrades due to financial concerns. 

However, despite the cost of energy-efficient upgrades, 90% of those surveyed said they didn’t regret their decision to make them, and over half (56%) said their upgrades were delivering the expected savings. 

The most popular energy efficiency upgrades included: 

1. LED lighting (61%) 
2. Ceiling fans (52%) 
3. Washing machines (44%) 
4. Refrigerators (35%) 
5. Clothes dryers (35%) 
6. Insulation and air sealing (35%) 
7. Smart home energy management (35%) 

On average, homeowners reported cutting $50 from their monthly energy bills, with 1 in 5 reporting $75 in savings per month. The top upgrades that yielded the most average savings were: 

1. Solar panels ($117) 
2. Battery storage system (for solar energy) ($98) 
3. High-efficiency HVAC system ($71) 
4. Windows and doors (double-pane, storm windows, low-E coatings) ($68) 
5. Cool or energy-efficient roofing ($64) 

Still, 73% of homeowners cited high upfront costs as their top financial barrier to energy efficiency upgrades, followed by having other financial priorities, such as a mortgage, debt and additional expenses (60%). However, nearly 2 in 5 said they were unaware of government rebates, tax credits or financing options, and 2 in 3 said they might have upgraded sooner had they been better informed.